2024-08-26 14:10:44
Increased by 2.19 billion euros against the target were the tax revenues in the period January – July 2024, according to the execution data of the state budget, on a modified cash basis.
Tax revenues amounted to 36.866 billion euros, increased by 6.3% compared to the target included in the introductory report of the 2024 Budget.
The primary result on a modified cash basis was a surplus of 5.665 billion euros, against a target of primary surplus 1.655 billion euros.
In detail, according to his announcement Ministry of National Economy and Financeon a modified cash basis, for the period January – July 2024, there is a deficit in the state budget balance of 139 million euros against a target for a deficit of 3.745 billion euros included for the corresponding period of 2024 in the introductory report of the Budget 2024 and a deficit of 1.435 billion euros in the corresponding period of 2023. The primary result on a modified cash basis was a surplus of 5.665 billion euros, against a target of a primary surplus of 1.655 billion euros and a primary surplus of 3.558 billion euros for the same period in 2023 .
It is noted by the Ministry of Finance that part of the difference in tax revenue collections amounting to 647 million euros is counted in the fiscal result of the year 2023 and an amount of 2.323 billion euros which concerns the postponement of the transfer payments to OKA by 1.693 billion euros, as well as the expenditure related to equipment programs amounting to 630 million euros, does not affect the result in fiscal terms.
Excluding the above amounts, exceeding the target in the primary surplus of the state budget for the period January-July amounts to 1.040 billion euros.
Therefore the primary result in fiscal terms differs from the result in cash terms. It is pointed out that the above refers to the primary result of the Central Administration and not to the whole of the General Government, which also includes the fiscal results of the Legal Entities and the sub-sectors of OTAs and OKAs.
In addition, the above concerns the comparison in relation to the objectives of the introductory report of the Budget 2024. During the preparation of the Stability Program in April 2024, it has already been taken into account that an amount of 1.238 billion euros on a budgetary basis that comes from a better forecast of tax revenues of 2024, is directed to increased expenses of the regular Budget of the General Government bodies, as well as the National arm of the Public Investment Program.
The revenue
In the period January – July 2024, the amount of net revenues of the state budget amounted to 39.187 billion euros, presenting an increase of 863 million euros or 2.3% compared to the target included for the corresponding period in the introductory report of the 2024 Budget , since the objectives of the introductory report included: a) the collection in the month of March of an amount of 1.797 billion euros from the Recovery and Resilience Fund (RAF), the largest part of which, i.e. the amount of 1.687 billion euros, had been collected in December 2023 and an additional amount of 159 million euros was collected in January 2024 and b) the collection in June of a price of 1.350 billion euros from the service concession agreement for the financing, operation, maintenance and exploitation of the Egnatia Odos motorway and the three of vertical road axes, which was signed on 29.03.2024. The next steps in the process until the payment of the price are expected to be completed in the coming months.
The total revenue of the state budget amounted to 43.085 billion euros, increased by 867 million euros or 2.1% against the target.
More specifically, the revenues of the major categories of the state budget are as follows:
I. The revenues of the “Taxes” category amounted to 36.866 billion euros, increased by 2.190 billion euros or 6.3% compared to the target included in the introductory report of the Budget 2024. This overperformance comes from the better performance of taxes of income of natural and legal persons of the previous year collected in installments until the end of February 2024 (it is noted that an estimated amount of 647 million euros is counted in the fiscal result of the year 2023), as well as the best performance in the collection of taxes of the current year. Therefore, the excess of tax revenue that is counted fiscally in the year 2024 amounts to 1.543 billion euros.
It is noted that the above concerns the comparison in relation to the objectives of the Budget. During the preparation of the Stability Program in April 2024, an increase in tax revenues of 1.238 billion euros has already been taken into account, which is directed to increased expenses for the year 2024 of the regular Budget of the General Government bodies, as well as the National arm of the Public Investment Program , as reflected in the Stability Program.
In particular, the following are observed for the main taxes of this category:
- VAT revenues amounted to 14.581 billion euros and are increased against the target by 545 million euros.
- The revenues of the tax authorities amounted to 4.046 billion euros and are increased against the target by 135 million euros.
- Real estate tax revenues amounted to €1.809 billion and are €73 million above the target.
- Income tax revenues amounted to 12.285 billion euros and are increased against the target by 1.404 billion euros, of which Personal Income Tax is increased by 399 million euros, Corporate Income Tax is increased by 811 million euros and Other Income Taxes increased by 194 million euros against the target.
II. The income of the “Social Contributions” category amounted to 35 million euros, and is increased against the target by 2 million euros.
III. The revenues of the “Transfers” category amounted to 3.085 billion euros, reduced by 811 million euros compared to the target included in the introductory report of the 2024 Budget mainly due to: (a) the collection in December 2023 of the amount of 1.687 billion; euros from the Recovery and Resilience Fund (Resilience Fund), while an amount of 159 million euros was collected in January 2024, against a target of 1.797 billion euros that was initially predicted to be collected in the month of March 2024 and (b) the increased PDE revenues, by 679 million euros, against the target. In particular, of the above collected amount of 3.085 billion euros, an amount of 2.652 billion euros concerns PDE revenues.
IV. The revenues of the “Sales of goods and services” category amounted to 583 million euros, reduced by 1.351 billion euros compared to the target included in the report of Budget 2024. The observed lag is due to the fact that the target of the report included the collection in June of the price from the concession contract, the Egnatia Odos highway and its three vertical road axes, amounting to 1.350 billion euros, which is expected to be collected in the following months, as mentioned above.
V. The income of the category “Other current income” amounted to 2.483 billion euros, increased by 805 million euros compared to the target included in the report of the Budget 2024, mainly due to the increased income from expenditure reimbursements, by 356 million. euro. It should be noted that of the above collected amount of 2.483 billion euros, an amount of 351 million euros concerns PDE revenues, which are increased by 265 million euros compared to the target.
VI. The revenue of the category “Sales of fixed assets” amounted to 32 million euros, against a target of 1 million euros.
Revenue returns totaled €3.898 billion, up €4 million from the target (€3.894 billion).
The total revenues of the Public Investment Program (PIP) amounted to 3.003 billion euros, increased by 944 million euros from the target (2.059 billion euros).
The image in July
In particular, in July 2024 the total net revenues of the state budget amounted to 7.721 billion euros, increased by 1.150 billion euros compared to the monthly target.
More specifically, the revenues per major category of the state budget for July 2024 are as follows:
I. Revenues of the “Taxes” category amounted to €7.668 billion, up by €932 million or 13.8% against the Budget target, mainly due to better performance in the collection of tax year’s personal and corporate income tax 2023. It is noted that most of this result, as mentioned above, has been foreseen in the objectives of the Stability Program.
In particular, the following are observed for the main taxes of this category:
- VAT revenues amounted to 2.638 billion euros and are increased against the target by 197 million euros.
- The revenues of the tax authorities amounted to 728 million euros and are increased against the target by 56 million euros.
- Real estate tax revenues amounted to 206 million euros and are short of the target by 4 million euros.
- Income tax revenues amounted to 3.457 billion euros and are above the target by 666 million euros, of which 324 million euros concern corporate income tax and 271 million euros personal income tax.
II. The income of the “Social Contributions” category amounted to 5 million euros, in line with the target.
III. The revenues of the “Transfers” category amounted to 197 million euros, increased by 143 million euros compared to the target included in the introductory report of the Budget 2024. An amount of 160 million euros concerns PDE revenues, which are increased by 117 million. euros against the target.
IV. The revenue of the “Sales of goods and services” category amounted to 113 million euros, increased by 4 million euros compared to the target included in the introductory report of the 2024 Budget.
V. The income of the “Other current income” category amounted to 404 million euros, increased by 184 million euros compared to the target included in the introductory report of the 2024 Budget. An amount of 56 million euros concerns PDE income, which is increased by 51 million euros against the target.
Revenue returns totaled €674 million, up €123 million from the target (€551 million).
The total revenues of the Public Investment Budget (PDE) amounted to 215 million euros, increased by 168 million euros from the target (47 million euros).
The expenses
The expenses of the State Budget for the period January – July 2024 amounted to 39.326 billion euros and are shown reduced by 2.744 billion euros compared to the target (42.070 billion euros), which is included in the introductory report of the 2024 Budget. They are also increased , compared to the corresponding period of 2023, by 743 million euros, mainly due to the increase in interest payments.
In the part of the Regular Budget, the payments are shown reduced compared to the target by 2.860 billion euros. This development is mainly due to the deferral of transfer payments to OKA by 1.693 billion euros, as well as the costs related to equipment programs amounting to 630 million euros, which do not affect the result in fiscal terms. In contrast, i.e. incrementally in relation to the target, interest payments for servicing the public debt moved by 436 million euros.
Notable transfer payments can be mentioned: the payment of 120 million euros by the Ministry of Rural Development and Food to ELGA for the compensation of agricultural holdings affected by flooding due to the DANIEL-ELIAS disasters in September 2023 as well as for related land improvement projects, the a 191 million euro grant from the Ministry of Infrastructure and Transport to transport agencies (OASA, OASTH and OSE), a 207 million euro grant from the Ministry of Health to the National Central Health Procurement Authority (EKAPY) to cover the cost of supplying medicines for needs of the NHS and General Hospitals. Papageorgiou and the grant of 98 million euros to the Higher Educational Institutions (HEIs) for general operating expenses.
Payments in the investment expenditure arm amounted to EUR 6.099 billion, showing an increase of EUR 117 million compared to the target, as the target was exceeded in the PDP.