The notion of fiscal federalism is concerned with the relationship between the federated state of the state between the different levels of its organization regarding the distribution of fiscal projections. What sources of fiscal revenue, in what volume and how to distribute federal, federal, and local units, are the problems that are always borne by all federally regulated states. However, similar problems are also encountered by countries that have no federal arrangement but have developed regional and local self-government system due to the high level of decentralization of public functions. For this reason, the notion of fiscal federalism, understood broadly, embraces relations, at all, between central government and regional and local collectivities. Fiscal federalism is defined as the ratio of the fiscal authority within the fiscal system. More specifically, fiscal federalism is a fiscal system in federally regulated states, though it may also exist in unitary states if there are more than one fiscal authority. Fiscal federalism includes relations between higher and lower politicalterritorial units in relation to authorizations for establishing and introducing certain types and public revenues covering their expenditures.