ECONOMY

Tax revenues miss budget target in January

tax-revenues-miss-budget-target-in-january

Tax revenues missed their target by 183 million euros in January despite posting an annual increase (mainly thanks to a 10.8 percent year-on-year rise in takings from the ENFIA property tax), data compiled by the General Secretariat for Public Revenues showed on Thursday.

Total tax revenues amounted to 3.526 billion euros in January 2016 from 3.38 billion a year earlier, with value-added tax from domestic goods fetching 6.7 percent more than last year, while tax on earnings from games of chance soared 63 percent, likely thanks to the various jackpots.

However, comparisons ought to be made primarily with the budget targets for this year, not last year, as the statistical analysis will show whether the measures taken bring results or not.

The tax revenue target for the year’s first month was 3.709 billion euros.

Income tax revenues, which accounted for 36 percent of all direct tax takings for January, declined almost 10 percent from 520.4 million euros in January 2015 to 468.3 million. Property taxes, on the other hand, brought 11.84 percent more than 12 months earlier.

Indirect taxes posted annual growth of 91.4 million euros, or 4.3 percent, to climb to 2.21 billion euros. This is mainly due to the 5.3 percent increase in VAT revenues.