One of the essential details that payers are required to make when transferring tax and other payments to the budget of the country is KBC. It is a sequence of numbers, when you look at it, many citizens only shrug their shoulders in bewilderment, unable to understand what they mean.
Why are the BCC necessary, what is the budget classification code, and where can I get it? Problems that unconditionally arise for any taxpayer, at least once filling out a state duty payment, collection or excise tax. Instructions of the Ministry of Finance of the Russian Federation on the use of the budget system of Russia and amendments to them, approving the BCC, are called upon to answer this question.
What is BSC
BSC is an abbreviation of the concept of "budget classification code." This is a long chain of numbers representing a special cipher. Each number in this chain encodes a specific group of budget revenues in the national financial system. From the established sequence of these groups, one can determine where the payment came from, what its purpose is, who exactly appears to be the addressee, and to which missions the money resources are transferred, so it is possible to redirect them further.
The state budget is not a single account where the incoming payments are accumulated, it contains multiple “branches”: the KBK, revenues, expenses of the budget system, among which the reallocation of public funds is made.
Example
For a more detailed understanding of the budget system, we consider the cash flow at the SSC STS - income minus expenses. Payers of this tax enter enterprises and organizations on the simplified taxation system. Tax payments from legal entities are sent to the budget of the country, at the expense of these funds salaries are paid to employees of the public sector. Thus, commercial enterprises, making contributions to the state budget, contain not only their employees, but also teachers, doctors, etc.
Reduction of revenue and expenditure parts of the budget
All inbound payments marked “KBK USN revenues minus expenses” are sorted according to economic programs. They are accumulated at the BCC of the tax inspectorate, which takes into account taxes separately, depending not only on the BSC, but also on OKATO. Such accounting allows us to draw a conclusion about the welfare of tax collection in a particular region.
Thus, the Ministry of Finance can “monitor” the receipt of taxes and other payments to the budget, according to the profit codes of the budget of the Russian Federation, and create plans based on its spending share. The concept of codes was created in the manner described above in order to clearly compare with the texture of the state budget.
Why were the BSC introduced?
Prior to the implementation of budget codes, the recipient and purpose of payment in receipts were indicated, however, it was not possible to study the necessary information, based only on the specified data. Currently, due to the introduction of KBC payments, it is possible to clearly track the fate of any, even insignificant amount received by the state budget, to actually track who finances came from the budget, on what grounds, to which they were directed and redirected.
Such a system greatly simplifies the work of national organizations in drawing up a program for distributing the country's budget for next year. In addition, this system helps manage cash flows more efficiently than before the introduction of the BCC.
New BSC with changes in 2015
Order of the Ministry of Finance of the Russian Federation No. 150n approved the new rules for the use of KBK in 2015. Such changes affected several groups of tax deductions of commercial enterprises. First of all, it is the land tax KBK, which is now divided for payment by individuals and legal entities. And, in addition, it is also delimited by the category of land ownership.
In 2015, the tax inspectorate presented a special table where it brought together the main codes for 2014 with the same codes for 2015. This table, according to inspectors, will greatly facilitate the filling out of documents of commercial enterprises and will help accountants to avoid errors in the formation of payment orders and declarations, in which an indication of the BCC is necessary. What is a mistake in the code and how difficult it is sometimes to return money back, many accountants know firsthand.
Decoding Codes
The budget cipher contains twenty numbers, divided according to the categories into four informative parts:
- administrative
- profitable;
- software;
- classifying.
Administrative part
The first encoding elements of three numbers is an indicator of the main payment administrator (in other words, the receiving recipient in whose name the monetary resources are credited). Thus, for example, in the case of taxes, a numerical combination of 182 is applied, with payments to extrabudgetary funds of the FSS, KBK insurance is used with a combination of numbers 393, when transferring funds for compulsory medical insurance to the MHI fund - 392.
Profitable part
The profit block includes a number of numerical subgroups.
The first number of the profitable share (in other words, the fourth of the entire code) is the type of profit. Payment containing a tax figure - 1, free currency resources - 2, income from entrepreneurship - 3.
The following two numbers indicate the purpose of the payment (profit subgroup), for example: 01 - income tax; 06 - material taxes.
The last two numbers of the profit code establish the degree of the recipient’s budget (national, territorial, regional and others):
01 - income tax;
02 - contributions to social security contributions;
03 - taxes on goods sold in Russia;
04 - taxes on products manufactured outside of Russia and imported;
05 - income taxes;
06 - property payments;
07 - contributions from users of the subsoil;
08 - state duty;
09 - penalties and penalties for taxes that have been canceled (for example, UST);
10 - income from export-import operations;
11 - income from state ownership by putting it into temporary use;
12 - contributions when using subsoil;
13 - profit from paid services of state structures;
14 - profit from the sale of state property;
15 - fines and other charges;
16 - compensation for damage caused.
Software part
A four-digit cipher called the “program” will specify the type of payment arriving at the profitable part of the budget. Taxes and state duties are classified by the number 1000, penalties - 2000, fines - 3000.
Classification part
The last group of three-digit numbers corresponds to a payment with a code, according to the systematization of financial work: 110 - tax income; 160 - public contributions.
110 - profit from tax;
151 - income received by redistribution from budgets of other levels;
152 - receipts from other states and transnational corporations;
153 - loans from foreign banks and receipts from foreign credit enterprises;
160 - payments for social security contributions;
170 - profit from the sale of property;
171 - profit from revaluation of state property;
172 - profit from the redistribution of property;
180 - other profit.
So, understanding the rule of generating codes, it is easy to learn to “read” these incomprehensible numerical chains, for example, the KBK code "income minus expenses" when applying the standard number 182 1 05 01021 01 1000 110 is decrypted as follows:
182 - transfer to the state budget;
1 - inflow in the tax option;
05 - specifies the CSC STS income-expenses;
01 is the number of the financial note;
021 - subclause of the financial code;
01 - the state federal budget of the country is the recipient of the money;
1000 - down payment;
110 - belongs to the tax profits of the country.
How to determine BCF
The list of budget classification codes is in the special KBK reference book - from this important document, they will find out the necessary numerical combination that belongs to one or another payment. Changes in it, although infrequently, nevertheless occur and are accepted by amendments and issues of a new directory. The current KBK guide for 2015 was approved by the Ministry of Finance of the Russian Federation in 2013 (Order No. 65n of July 1, 2013). In 2015, the BSC Classifier was adopted as amended by the Decree of September 26, 2014 (Appendix 1).
Commercial organizations and individual entrepreneurs need budget classification codes to correctly fill out payment orders for the transfer of taxes, penalties, fines and any other payments in favor of the state. To indicate in payment orders, a special field 104 is assigned for KBK. What is this code can be indicated in certain types of tax returns and financial statements.
