The State Budget Law For The Year 2004

Original Language Title: Ley del Presupuesto del Estado para el año 2004

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Read the untranslated law here:

RICARDO ALARCÓN of QUESADA, President of the Assembly national of the power Popular from the Republic of Cuba.

(Do know: that it Assembly national of the power Popular of it Republic of Cuba, in the session of the 23 of December of 2003, corresponding to the second period ordinary of sessions of the sixth legislature, has approved it following: as: the Council of Ministers, in compliance of it willing in the article 98, subsection e), of the Constitution of the Republic (, and in article 20 of the Legislative Decree 192 of the Administration financial of the State, on April 8, 1999, has prepared and submitted the draft of State budget for the year 2004, for consideration by the National Assembly of people's power, as established in section 75, subsection e) of the Constitution.

AS: The proposed project reflects the politics of our State and the will of our people, continue to build a socialist society for man and man, despite the difficult conditions and tension that continues to subject our economy, especially by the unjust blockade that keeps the Government of the United States of America to our country. 

POR_TANTO: The National Assembly of the Popular power, in exercise of the powers which are conferred in section 75, subsection b) of the Constitution of the Republic, according to dictate the following: law NO. 98. law on the budget of the State for the year 2004 article 1.-the State budget for the fiscal year 2004, as it is stated in the following articles, shall remain in force from the first of January of the year 2004 until 31 December of the same year.

Article 2.-The budget of the State for the year 2004 will be conformed by revenues and current expenditures following: billion PESOS income total 19 512.0 tax 15 118.0 not tax 4 744.0 million PESOS less: Returns the total 350.0: Capital income 425.0 661.0 20 current 19 087.8 total expenses revenues expenses flows 18 261.0 for the budgeted activity 14 045.0 for transfer to the productive Sector 3 566.0 to operations financial 450.0 book 200.0 surplus in current operations                                                 826.0 expenses of CAPITAL 2 400.0 less: income of Capital 425.0 DEFICIT in CAPITAL operations (1 149.0) DEFICIT (1 149.0) article 3.-the budget deficit can not be increased. When exceptional situations involve an increase in the budget deficit required the approval of the State Council.

Article 4.-The costs arising from the approval of laws or decrees, promulgated during the fiscal year, joining the current budget. When expenses which can not be assumed with the created reserve generated by such laws or decrees, they shall be specified in such legislation, new sources of funding to cover the imbalance.

Article 5.-Ensure, first and foremost, resources for productions and services that are the most significant sources of income provided for in the budget for the year 2004.

Article 6.-The Central budget for 2004 remains to be made of revenues and expenses following: million PESOS revenue total 11 966.4 tax 8 800.3 non-tax 3 516.1 less: Returns the total 350.0: Capital income 425.0 income streams 11 541.4 768.3 11 total expenditure expenses 368.4 9 currents for the activity budgeted 5 194.8 for transfer to the productive Sector 3 557.4 to operations financial 450.0 book 166.2 surplus 173.0 2 current operations expenses of CAPITAL                            2 400.0 less: income of Capital 425.0 million of PESOS surplus budget CENTRAL 198.0 less: transfers to the budget of the 659.0 Social Security grants to local budgets DEFICIT 688.0 (1 149.0) article 7 - Central budget be transferred financial resources to subsidize losses in State enterprises subordinated to the agencies of the Central Administration of the State up to the limits set out in the annex to this law and forming part of it.

Article 8.-Bodies and agencies shall take measures ensuring that enterprises and budgeted units which are subordinated to them, comply promptly with their obligations to the budget and that through the more rational use of material, human and financial resources available, strictly to match the levels of budgetary expenditure which will be notified to them by the Ministry of finance and prices; checking systematically compliance with approved budgets and deciding that in each case apply to avoid excesses and, accordingly, needs for additional financial resources.

Article 9.-the Central budget will be transferred resources to the budget of the Social Security to cover the excess of expenditures the State incurred to secure benefits, pensions, and retirement prescribed in the Act, the income obtained by the contribution they are forced legal and natural persons as set out in articles 53 54 and 56 of the law 73, of the tax system, dated 5 August 1994.

Article 10.-The Social security budget is formed by following current expenses and revenues: millions of PESOS income 2 159.0 contribution to Social Security 1 500.0 transfers from the Central budget 659.0 2 expenses 159.0 article 11.1.-establishing the Fourteen percent (14 percent) as tax rate, all entities employing the beneficiaries of the contribution to the Social Security referred to in articles 53 and 54 of law No.. 73, of the system tax, of date 5 of August of 1994.
Bodies and agencies of the State, organizations of business management, enterprises, joint enterprises, budgeted units and other State entities, the basic units of cooperative production, political, social and mass organizations, as well as entities subordinate to such organizations, only enter the State budget the twelve and a half percent (12.5 percent) of the tax rate to that referred to in the preceding paragraph.
The one and a half percent (1.5 percent) remaining, is at the disposal of the abovementioned entities obliged to contribute for this concept, that it be allocated to the payment of the social security benefits short term workers who are linked to them.
The economic benefit given to mothers during pre and post natal, done, starting from the current fiscal year, with resources from the budget of the Social Security, in accordance with the provisions of the Decree-Law No. 234 of 13 August 2003 of the Council of State and the resolution No. 22, dated October 23, 2003 , of the Ministry of labour and Social Security.
The rest of the entities not listed above continue contributing according to the tax rate established for each case.
Article 12.-Is set five percent (5 percent) as the rate of the special contribution to Social Security for workers who work at entities incorporated to business development and platform fleet activities, as well as others during the execution of fiscal 2004 are approved, in accordance with the provisions of article 56 of law No.. 73 , of the system tax, of date 5 of August of 1994 and the resolution 16 of date 2 of July of 1999, of the Ministry of finance and prices.

Article 13.-Budgets provincial and the special municipality of the Isle of youth receive a participation on Central budget revenues to cover up to twenty per cent (20 percent) of its current expenditure of budgeted activity, calculated based on the tax of circulation and firms of national subordination in their territories. The percentages of participation are the following: percentages Pinar del Rio 53 La Habana 0 city of the Havana 1 kills 21 Villa Clara 41 Cienfuegos 58 Sancti Spiritus 64 Ciego de Ávila 48 Camagüey 49 Las Tunas 73 Holguin 37 Granma 75 Santiago de Cuba 64 Guantanamo 82 island of youth 55

Article 14.1.-the Central budget will be transferred to provincial budgets and the budget of the special municipality island of the youth that require it, grant to cover the excess of current expenditures approved on participatory and assigned revenues planned, necessary to ensure sustainable economic and social development of the territories. He limit maximum to subsidize in each budget is the following: million of PESOS Pinar of the river 21.3 Villa clear 7.5 Sancti Spiritus 37.8 Camagüey 71.8 them Tunas 51.1 Holguin 136.9 Granma 127.7 Santiago of Cuba 145.3 Guantanamo 135.4 island of the youth 11.6 them provinces it Havana, city of the Havana, Matanzas and blind of Avila, that plan surplus, provide these to the budget Central in the periods and amounts fixed by the Ministry of finance and prices.
It empowers the Ministry of finance and prices so that, within the limit maximum total grant from the Central budget to local budgets set, perform reallocation between provinces, by circumstances duly informed, to secure the financial needs for economic and social development.
Article or 15.-the budget Central assigns, in correspondence with it expressed in the article 3 of the present law, to them budgets provincial and of the municipality special island of the youth, through transfers of destination specific, them resources financial needed to support them decisions of the Government central taken during the exercise fiscal that increase them levels of expenditure public approved in their respective budgets , provided that these can not be covered with savings of expenses or income transferred and participatory sobrecumplimiento.

Article 16.-The provincial assemblies of people's power determined for each of its municipalities the percentages of participation in the concepts of income to the budget which have been established, ensuring that as a whole the provincial budget meets participation that defines you article 13 of this law.

Article 17.-The provincial assemblies of people's power set maximum transfers of the provincial budget to municipal budgets per grant, to cover the excesses of current expenditure approved, on planned revenues transferred and participatory.

Article 18.-The Board of Directors of the provincial and municipal assemblies of people's power will work to improve outcome between transferred and participatory planned revenues and current expenditures approved in their budgets.

Article 19.-the Central budget is transferred to provincial budgets funding for capital expenditure, in accordance with the decisions taken in the course of the fiscal year and then approved the investment plan by the Ministry of economy and planning, once deducted the amount of capital income and other resources decentralized subordination provincial and municipal companies. The budget of each province is assigned to municipal budgets, funding that corresponds.

Article 20.1.-The national Office of tax administration organizes and performs the necessary actions to ensure greater discipline in the timely payment of taxes and other non-tax revenues, both individuals and companies, in order to ensure the revenue provided under the budget of the State, strengthening tax audits and inspections.
Also the other organs and agencies of the State must strengthen and improve its work of inspection to combat the unlawful exercise by legal and natural persons, productive activities and provision of services, thus contributing to greater social discipline and the increase of revenues of the State.

ONLY special provision: The Ministry of finance and prices, such as the Central Administration of the State Agency and rector of the budgeted function in the country, will dictate how many supplementary provisions are necessary for the better enforcement of the provisions of this law.


PROVISIONS to end first: The Ministry of finance and prices is authorized, on the basis of the total costs of the 2004 budget approved by this law in its article 2, to notify expenditure budget approved every organ and body of the State, as well as organizations and associations linked to the Central budget set spending limits with managerial character matching.

Second: The organs and agencies of the State, as well as organizations and associations linked to the Central budget, on the basis of the budgets of expenditures reported by the Ministry of finance and prices, desagregarán them in their respective systems, ensuring that, through the rational use of financial resources in the budgeted activities and higher levels of economic efficiency in business activities , budgeted units and enterprises comply with assigned spending limits, while the levels of production and provision of planned services affect fundamentally.

Third: The heads of the organs and agencies of the administration of the State, enterprises and budgeted them subordinate and units of organizations, associations and other institutions related to the budget are responsible for the Administration and control of the implementation of the budgets that are notified by the Ministry of finance and prices, as established by the first Final provision , of this law, and are obliged to stay on the established them.

Fourth: The Ministry of finance and prices can only modify the budget reported as the limit to the bodies and agencies, and organizations associations linked to the Central budget, when the increase of the same answers to new decisions of central character.

 Fifth: Is it delegated to the Ministry of finance and prices so that, during the execution of the State budget, making the adjustments in the different areas of expenses and income, arising from decisions of the Council of State and the Council of Ministers, provided that does not increase the Budget Deficit set in article 2 of this law.

 Sixth: Are they repealed many laws and regulatory provisions is contrary to provisions of this law, which will begin to run from the first of January of the year 2004.


GIVEN in the room of sessions of the Assembly national of the power Popular, Palace of them conventions, in the city of the Havana, to them twenty-three days of the month of December of the year 2003.



Annex limit maximum of lost to subsidize to LAS companies subordinate to LOS organs and bodies of the State administration million of PESOS Total by bodies Ministry of the industry sugar 150,0 Ministry of the agriculture 186.7 261.8 construction Ministry 36.2 basic industry Ministry Ministry of steel 21.0 industry Ministry of the fisheries industry 21.3 22.0 Transport Ministry, the Ministry of the light industry 7.9 allowances for losses referred to in this law for the local organs of people's power will make up by the Ministry of finance and prices as expenses at the time notification of the respective provincial budgets and limit the special municipality of the Isle of youth.