Deficit worsens by 56 million euros compared to 2015 – RTP

Despite the increase in absolute numbers, this deficit is 29.7 percent of the planned deficit for the whole year. In the same period 2015, the budget of the General Directorate of the data shows that the deficit already represented 31 percent of expected for the whole year.

Data from the April budget execution indicate that the primary balance, ie not counting interest, recorded a surplus of over 1,118 million euros. An improvement of 261 million euros compared to 2015.

The spending grew 0.7 percent, a figure that underlines the Government to be “much lower than planned in the State Budget”. In the document, the Executive provides an increase in expenditure by 5.7 percent.

Revenue rose 0.5 percent, reflecting the increase in tax revenue by 3.5 percent. Social contributions increased 3.1 percent.
Increased Revenue

 The increase in tax revenue is worth noting the strong growth in engagement with the taxes on tobacco and on petroleum products. Revenue from the Tax on Tobacco consumption more than doubled over the same period of 2015: passes from 243.3 million euros to 504.7 million euros

The revenue from the tax. Petroleum products grows 42.9 percent over the same period last year. That is, the state has accumulated 1.0226 billion euros with this tax against the 715.6 million euros raised in the same period. DGO notes that this growth is due to the tax increase but “primarily for accounting purposes”.

The state also increased by 18.3 percent to revenue from the Vehicle Tax (ISV). Revenue from the tax on alcohol and alcoholic beverages (IABA) grew 20.6 percent.

Revenue from VAT on a decline of 129.9 million euros in the previous year (-2.7 percent). This fall, refers to DGO, is “determined by an increase of 229.7 million euros worth of repayments over the same period.”

In direct taxes, the state collected more money in IRS and less IRC. Revenue from IRS increases 0.8 percent over the same period of 2015, while revenue fell 23.4 percent IRC.

With this break, the state saw the revenues from direct taxes down three percent. The fitting with indirect taxes grew by 7.8 percent.