UDC

[1:316+352.075+336.02](470+571)(410)(045)

Authors

Marcheva Liudmila Marinovna, Northern (Arctic) Federal University named after M.V. Lomonosov, Institute of Philology and Cross-Cultural Communication

Abstract

The article considers the principles of local self-government financing in European countries and Russia as well as formation and purpose of local finances. Basic documents defining the functioning of local self-government bodies in the sphere of economy and finance are cited. Implementation of the basic principles of local self-government financing in the United Kingdom and Russian Federation is analyzed. Problems of local self-government financing in Russia and measures to resolve them in order to improve the efficiency of local self-government during the reform process are conceptualized.

Keywords

local self-government, local finances, independence, tax flexibility.