Taxes are mandatory benefits that the state takes from individuals and companies without direct and immediate counter-service in order to finance public expenditures with the money collected. In other words, we all have to pay part of our income to the state in order for it to provide us with public services such as education, health care, public safety, care for the elderly and poor, etc. Taxes can be divided into state taxes that represent income of the state budget of the Republic of Croatia, county taxes that can be called by counties, and revenues of county budgets, municipal and city taxes that can be called by municipalities and cities, and thus generated revenue is revenue of municipal / city budgets and joint taxes where revenues are divided according to the prescribed key , so that part belongs to the state, part to the county, and part to the municipal / city budget. The budget is an act adopted by a representative body, which plans revenues and expenditures for the budget year, and is valid only for that year.