With less expense and in high revenue deficit fell in 1760 million … – publico

With less expense and in high revenue deficit fell in 1760 million … – publico

                 

                         
                     

                         
                     

                 

 
                         

With the increase in state tax revenues to meet the target and the expenditure falling, the general government deficit declined last year for the 7074 million, down 20% compared to 2013. The difference is 1.7615 billion euros.

                     

                         With increasing government tax revenues to meet the target and the expenditure falling, the general government deficit declined last year to 7074 million euros, rising to EUR 655 million lower than planned by the government, when in October updated its budgetary projections.

The budget execution figures for all 12 months of 2014, published on Friday by the Budget Directorate-General (DGO), show that the deficit fell by 20% in to 2013, a difference of 1.7615 billion.

The data come give some security to the Government in relation to compliance with the deficit target negotiated with the European Commission for that year. However, with these numbers on the table is still not possible to know what the value of the public deficit, because now published budget execution summary is presented in public accounting (on a cash basis, with only the cash inflows and outflows) and the value that matters to Brussels is the calculated estimate in national accounts -. a value accruing to the National Institute of Statistics measure (the target is 4.8% of GDP)

The release is scheduled for March, when already there will be information on the first two months of budget implementation in 2015, the year in which the executive has pledged to cut the deficit to 2.7%. . A goal that Brussels and the IMF consider to be too optimistic

For now, budget execution shows that the revenue collected through taxes was key to improving the general government deficit (which includes the central government – State reclassified public entities, services and autonomous funds -., Social Security and local and regional administrations)

To state coffers entered 37,111 million euros in taxes, in order the value projected by the Government in the latest revision of the estimates of tax revenue (37,118,400,000). Face to 2013, there was an increase of 2.3%, driven mainly by the performance of collection of VAT and the IRS.

You need to take into account that this data compared to a year where the government launched a tax amnesty. The effective enforcement of tax revenue compared to 2013 of approximately EUR 838 million, reaching 1770 million discounted if the effect of the tax debt settlement program.

VAT and IRS below estimates
VAT remained the most tax revenue earned State. With a growth of 4.3%, the collection reached 13.8123 billion euros, 563 million more than in 2013. After the government launched the “huge” tax increase, the amount raised from the income tax of individuals has approached the value achieved with the VAT. Last year, the difference was 963 million. The IRS surrendered to the state coffers 12.8493 billion, increasing 4.4% over the previous year. The DGO attributed this growth to “improved labor market conditions” and the impact of measures to combat fraud and the black economy.

Excluding comparing the impact of the tax amnesty, the growth of revenue IRS is 5.7%. But looking at the estimate of the Government in October, the result is below the target, which was 12,863,100,000. And the same is true in the performance of VAT, the Government envisaged at 13,849 million euros.

This year, the Government signed a standard in the OE that in 2016, there is a refund (total or partial) of the IRS surcharge charged this year if revenues from VAT and IRS exceed estimates. The starting point are the estimates of the OE -. And not any revenue revisions that may arise

In 2014, revenues from these two taxes were below the latest estimate (October), but overcame the first projection, made a year earlier.

In the IRC, in 2014 there was a decrease in revenue. Last year was the first in which prevailed the reform of the business tax. And with the decline of 25% to 23% IRC, revenues fell 11.3% to 4.5172 billion euros.

In addition to the 37 111 million state tax revenue the remaining tax revenue public administrations, the amount collected amounted to 42 490 million, above the estimate.