Recently, Southern Weekend counted the incomes from fines and confiscations of more than 300 prefecture-level cities in China in 20021year. Among them,11/prefecture-level cities published the data of confiscated income. Among the11prefecture-level cities with published data, in 20021year, the confiscation income of 80 cities showed an upward trend, accounting for more than 72%.

Time Finance found that among the top 14 prefecture-level cities in China, in 2020, compared with 2020, Jiangsu Province occupied 7 seats, namely, Yancheng ranked first, Changzhou ranked third, Nantong, Zhenjiang, Xuzhou, Suzhou and Taizhou.

Image source Southern Weekend

Time Finance inquired about the budget implementation of Jiangsu cities in 20021year, and found that Yancheng's confiscation income in 20021year was 3.727 billion yuan, an increase of 44.12% compared with 2020; Changzhou City's confiscation income in 202 1 year162.5 billion yuan, an increase of 109.68% compared with 2020.

Among them, Changzhou explained in the "Report on Budget Implementation in 20021Year and Draft Budget in 2022" that "the main reason for the sharp increase in confiscation income is the increase in confiscation income in major cases."

On July 22nd, Time Finance called the relevant office of Yancheng Finance Bureau to inquire about the reasons for the sharp increase of confiscated income. Is it a traffic fine? The relevant staff said, "The proportion of traffic fines is very small now, mainly because major economic cases, such as fraud, have been cracked, so there are more public security fines."

Coincidentally, Time Finance called Changzhou Finance Bureau and got a similar response. The relevant staff said that "the main reason for the large increase in confiscation income is the increase in confiscation income in major cases", and then the other party replied that it involved internal data leakage. Because "major cases are classified", it is not convenient to provide further information.

Understand the analysis of Time Finance by Cheng Yu, a senior researcher and independent investor of Economic Research Institute, on July 25th. If the financial situation of local governments is regarded as a balance sheet, firstly, the liabilities are rigid and must be paid back. But as far as assets are concerned, the source is the income from land auction, that is, the income from asset management, while taxes and transfer payments are normal operating income.

"If these projects are declining and the expenditure of local governments is almost rigid, then we must find ways to increase our income within a controllable range, either by collecting more taxes or increasing the income from fines and confiscations." Cheng Yu added.

Yancheng has the highest appreciation rate of confiscated income.

Speaking of confiscated income, I believe everyone is familiar with it. 2002165438+February 17 The State Council Supervision Office publicly reported the problems of large-scale arbitrary charges, fines and apportionment in Bazhou City, Hebei Province on the platform of "Internet plus supervision" in the State Council.

It is reported that incomes from fines and confiscations refer to the money that law enforcement and judicial organs impose economic fines on offenders according to the provisions of laws, regulations and rules, and the confiscated money and stolen goods are converted into price.

According to the document "Yancheng 202 1 Budget Implementation and 2022 Budget" of the first meeting of the Ninth Yancheng People's Congress in February 2022, the confiscation income of Yancheng 202 1 was 3.727 billion yuan, the budget of Yancheng 20021was 3.628 billion yuan, and the final accounts in 2020 were 2.520 billion yuan.

According to the report of Yancheng local media in 20021June, in 20021year, Yancheng public security launched a special campaign of "mine clearance and escort", which launched a fierce offensive against various economic crimes, effectively destroyed the industrial chain of several cross-regional criminal gangs and handed over a powerful report card for maintaining local economic security.

Coincidentally, the income from fines and confiscations in cracking down on crimes has also greatly "generated income" for Qingdao.

In the list of fines and confiscations of major provincial capital cities and sub-provincial cities, the amount of fines and confiscations of Qingdao 202 1 is 4.377 billion yuan, ranking first among the statistical cities of11. Compared with 2020, Qingdao's fines and confiscations increased by 245 1 100 million, with an increase of 128. According to media reports, it was learned from Qingdao Finance Bureau that the main reason for the sharp increase in fines and confiscations was that 20.21cracked major pyramid schemes and increased fines and confiscations by 2.245 billion yuan.

According to the provisions of the Ministry of Finance on the budget management of administrative fees and incomes from fines and confiscations, the fees and incomes from fines and confiscations obtained by departments and units at all levels should be turned over to the state treasury within 3 days. No unit or individual may default, withhold, finance, misappropriate or divide it among themselves.

In addition, according to the Measures for the Administration of Government Non-tax Revenue issued by the Ministry of Finance on 20 16, the sharing management policies of government non-tax revenue, including incomes from fines and confiscations, are clarified, and it is stipulated that the sharing proportion of government non-tax revenue should be determined according to the situation that ownership, power and corresponding expenditure responsibilities are compatible. The proportion of non-tax revenue between the central and local governments shall be stipulated by the State Council or the Ministry of Finance. The share of non-tax revenue between the provincial level and cities and counties shall be formulated by the provincial people's government or the provincial finance department. Therefore, the income from fines and confiscations can be included in the general fiscal revenue.

In addition to Yancheng and Changzhou, the incomes from fines and confiscations in Zhenjiang, Suzhou, Taizhou and Nanjing in Jiangsu have also increased by more than 500 million yuan. In addition, Suqian's confiscation income increased by 467 million yuan, with a growth rate of 133.05%.

Behind the substantial increase of confiscation income in Jiangsu cities

It is reported that the local government's income sources are mainly three parts, one part is normal tax, the other part is transfer payment, and the other part is land sales income.

Cheng Yu told Time Finance that at present, the tax-sharing system below the provincial level has not been deepened, and the transfer payment may only be at the provincial level. In the past two years, affected by the epidemic, the economic growth rate has slowed down, the provincial income has decreased, and the transfer payment ability between prefecture-level cities has also weakened.

Cheng Yu further pointed out that in the past, finance relied heavily on land sales revenue, but from the trend in recent years, land revenue continued to decline.

According to Zhiyan Consulting, during the period from 20 15 to 202 1, the land transaction area of all land in Jiangsu Province reached the maximum in 20 18, and then it showed a downward trend. According to the data of Huajing Industrial Research Institute, in 20021year, there were 6,225 land transfers in Jiangsu Province, with a land transfer area of 247,359,400, down 7.2% year-on-year. Among them, the number of residential land transactions was 1838, with a transaction area of 82,527,600, a year-on-year decrease of 7.03%.

In Cheng Yu's view, if the transfer payment capacity of land finance and provincial finance is limited, the only thing that local governments can do independently is fiscal revenue and confiscated income. Therefore, the increase of confiscation income is related to the degree of land dependence and the decline of land income.

The Industrial Securities Research Report combed the ranking of land dependence of 202 1 cities in Jiangsu Province, and the ranking of the top seven cities was roughly equivalent to the ranking of confiscated value-added income. According to the statistics of the research team of Industrial Securities, Changzhou ranks first in Jiangsu, accounting for 68.1%; The second is Nantong 67%; The third is Xuzhou 65.8%; The fourth is Yangzhou 65.7%; The fifth is Yancheng 63.9%; The sixth is Taizhou 61.4%; The seventh is Suqian 59.3%.

Image source Industrial Securities

Lan Xiaohuan, a professor at Fudan University School of Economics, once said in an exclusive interview with Time Finance that the real power of land is not fully reflected in "land finance", but bank credit and other funds leveraged by land. In his view, once "land finance" is grafted and leveraged with the capital market, it will form "land finance", snowball, promote rapid economic development and create more and more debts for local governments.

According to the data of Guo Xin Securities Economic Research Institute, as of 2002 1 65438+February 21,the total size of local government bonds was 30.3 trillion, which was the largest variety in the domestic bond market, with the balance accounting for 23.3%. By the end of 20021,the balance of local government bonds in Jiangsu Province was the largest, accounting for 6.3%, followed by Guangdong Province and Shandong Province.

In addition, according to the general debt and special debt respectively, the top three general debt balances are Jiangsu Province, Hunan Province and Sichuan Province, and the top three special debt balances are Guangdong Province, Jiangsu Province and Shandong Province. It can be seen that whether it is local government debt, general debt or special debt, Jiangsu is in the forefront of the country.

Cheng Yu pointed out that considering the local debts accumulated by local governments in the past decade, their debt risks and debt pressures are also quite large. In this way, the funds left for prefecture-level cities to maintain operation are limited, so some local governments will try their best to increase their income, and the income from fines and confiscations will increase greatly.