2023-09-11 18:24:50
The collection of taxes by the Tax agency, Little by little, it returns to more moderate growth rates, after the unusual growth of 14.4% recorded in 2022 in the heat of inflation. In the first seven months of the year, the tax collection of the Tax Agency has amounted to 151,953 million euros, 3.9% more than in the same period of the previous year (in homogeneous terms, the increase was 5.2%), according to data published this Monday by the Ministry of Tax authorities. The loss of momentum in tax revenues is also a consequence of personal income tax reductions adopted by practically all of the autonomous communitieswhose impact amounts to 1,677 million until July (1,366 million due to the increase in tax minimums and the reduction in rates and 311 million due to the increase in deductions).
VAT revenue
In 2022, tax collection was reinforced by a inflation which, precisely, in July of that year, reached 10.8%, and which, on average, stood at 8.6% for the entire year. Not in vain, in July 2022 VAT collection it grew at a rate of 17.8%, when applied to prices of goods and services that had grown significantly.
In July 2023, with an inflation rate of 2.3% (and an annual average of 3.8% in the first seven months of the year), the accumulated VAT collection in the first seven months of the year it has barely grown by 2.1% compared to the same period of the previous year (8.5 times less than the 17.8% of the previous year).
The loss of momentum in VAT collection has not only been influenced by the lowest inflation rate. The additional reduction in the rate in electricity and gas, which were not in force in July of last year. It didn’t exist then either. zero or reduced rate for certain foods which came into force in January 2023. The Tax Agency estimates that without these measures, VAT would be growing by 6.7% instead of 2.1% (in any case, well below the 17.8% that July marked 2022).
The truth is that if, on the one hand, the lower inflation is reducing the momentum of the collection by indirect taxes (VAT and special taxes), on the other hand, wage growth and improved benefits It is leading to better income.
Salaries, pensions and company benefits
According to him Monthly Tax Collection Report corresponding to July 2023, income growth rests, “first of all, on the good performance of job deductions and economic activities (11.2% for the maintenance of the creation of employment and the rise of salaries, pensions and effective rate) and, secondly, in the income from the benefits (fractional payments of personal companies grow by 8.2% and those of companies by 24.9%).
All this, taken together, results in a higher collection of 5,718 million euross in the first seven months of the year, reaching a total of 151,953 million, 3.9% more than in the same period last year. This without taking into account that tax measuresis that they have come into force this year, they have subtracted 5,528 million euros until July. If it were not for this, the growth in income would have been 7.7% (instead of the resulting 3.9%), according to the calculations of the Tax Agency, without reaching, in any case, the rate of 18% that It was scheduled for July 2022.
Among other issues, the reduction in revenue of 5,528 million due to the adoption of tax benefits reflects the impact of the reductions in personal income tax adopted, to a greater or lesser extent, by practically all of the autonomous communities. The Tax Agency estimates this impact at 1,677 million until July.
Deficit of the State and of all administrations
The Ministry of Finance has also published this Monday the data corresponding to the deficit accumulated by the State until July and that of all public administrations until June.
Specifically, the State deficit stood at 37,682 million euros until the month of July, which represents an increase of 56.8% compared to the same period of the previous year (24,027 million) and is equivalent to 2.68% of GDP. , compared to the 1.81% existing in July 2022.
According to the Ministry of Finance, it is due to the impact of the final settlements of the 2021 financing system, which amount to 11,798 million in favor of the autonomous communities and local entities, compared to last year, which was 6,106 million in favor of the State. .
Related news
Regarding the deficit set of the Central Administration, Social Security and the autonomous communities (does not yet include the balance of local corporations) stood at 30,186 million euros until June, which represents a decrease of 5.1% compared to the previous year and is equivalent to 2.14% of GDP -compared to 2.40 % of the same period of 2022-.
If the balance of aid to financial institutions is included, the deficit was reduced to 2.17% of GDP, according to data provided this Monday by the Ministry of Finance and Public Service.
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