Centralized Collection And Payment System Research Based On The Treasury Of The Government Performance

Government performance is a topic drawing much attention nowadays, and tough the interpretation and evaluation criteria of government performance differ a lot, it is generally agreed that how to improve government performance has become a subject worthy of further study and a problem to be addressed urgently. As we know, the operation of a government is based on sound fiscal income and expense, so how to better manage the limited fiscal resource and improve efficiency of spending will, to some degree, help to improve the government performance (from one aspect).As stipulated in the report to the Seventeenth National Congress of the Communist Party of China: we will improve the public finance system as we work to ensure equal access to basic public services and establish development priority zones. We need to deepen reform of the budget system, tighten budgetary management, improve the system whereby both the central and local governments have financial resources proportionate to their duties and responsibilities, accelerate the establishment of a unified, standardized and transparent system for transfer payments, enlarge the size and proportion of general transfer payments, and increase input in public services. These requirements clearly define the direction and focus of our future fiscal reform.Under the old fiscal system, China adopted multi-accounts and dispersed payment. Say pay the budgeted annual total expenditure to the accounts that first tier budget departments have in commercial banks, and then the first tier budget departments will sub-allocate the money to the second tier and so on, and the control and supervision of budgeted ends here, which makes tracing the performance of these budgets and whether they have achieved targeted goals impossible. As the establishment and development of Public Fiscal under Socialist Market Economic System, the operation method under traditional economic system reveals its shortcomings.First, repeated and dispersed accounts lead to low transparency of fiscal spending, making it hard to carry out effective management and supervision of the spending. Second, slow feedback makes fiscal spending information of little meaning of reference for budgeting, execution analysis and macroeconomic adjustments. Third, during allocation, considerable sum of funds is kept in budget units, which not only leads to low efficiency but also corruption. Forth, as large sum of budgeted money is kept in budget units, more government bonds is required to support public infrastructure construction, which increases cost of funds;So, current allocation method based on multi-accounts and dispersed payment is longer suitable as the demand to strengthen budget management and improve government performance arises. At the same time, with the social and economic development, government function transition together with changes of governing methods, new requirements have been imposed on treasury management policy,which traditional paying system can no longer meet. A radical reform is necessary.To reform the extensive fiscal funds management mode, from 2001, the Ministry of Finance started to implement treasury single account system nation wide gradually basing . Sichuan province, one of the first two trial provinces of new system, after a few years'of experimenting and research, has implemented treasury single account system in governments of different levels, which has greatly improved fiscal funds efficiency and government performance. At the same time, considerable achievements and revolution experience has been gained. However, not only some deeply rooted old problems repeat in budget execution, government buying and fiscal funds supervision, new problems arise as well.As a fiscal staff working in treasure payment centre, the author has witnessed the changes that happened in the process of fiscal payment reforming in the past few years, gained some experiences and rational thinking of this topic. Therefore, the research and analysis of this thesis has been expected to contribute, more or less, to the improvement of new treasure payment rules.