BUSINESS

Tax arrears heap up in November

TAGS: Finance

Taxpayers responded to the government’s extended payment freeze with a tax-paying halt of their own in November, as new expired debts to tax authorities spiraled to 1.45 billion euros last month, according to data released on Monday by the General Secretariat for Public Revenue. This amount is similar to the revenue shortfall the state budget has shown in the year to end-November.

Between the start of the year and November 30, taxpayers created new debts amounting to 11.83 billion euros. When this is added to debts from previous years the money the state is owed rises to 83.6 billion euros, of which the Finance Ministry says only 9 billion euros can be collected.

The state’s inability to pay its suppliers was the main factor in the creation of a primary budget surplus of 4.3 billion euros in the first 11 months of 2015, as spending was reduced by 3.07 billion.

Budget revenues produced a shortfall of 1.36 billion euros, amounting to 41 billion. The ministry attributes the lag in state revenues this year to the non-inclusion of the yields that eurozone central banks are due to pay Greece from holding Greek bonds (ANFAs and SMPs). They add up to 1.867 billion euros, according to the ministry.

Public Investment Program expenditure came to 3.7 billion, missing the target by 734 million euros.

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