More revenue and less expense deficit shrank at 2560 million – publico

                 

                         
                     

                 

 
 

The public deficit last year was 4594 million, leaving about 500 million euros below the inscribed goal in the initial state budget.

The synthesis of budget execution published on Monday by the Budget Directorate-General (DGO) shows an improvement in the deficit of 2567 million euros compared to 2014, with expenditure to shrink 2.4% and total revenue to grow 0 8%. The state of the universe, although collects revenue from taxes has been lower than expected, continued to grow at a rate of 5% and reached a new level: 38 984 million euros, representing more than half of all revenue administrations public.

Overall spending (State, autonomous funds, Social Security, most regional administrations and local) totaled 80.8227 billion euros, while revenue was 76,228,500,000 of Euro

The deficit announced by the DGO is calculated from the perspective of public accounting. – that is, revenue and expense have to inbound or outbound “box” – but the estimate that imports to the European Commission is the value of the deficit recorded in national accounts (with a view to commitments), which is only released in March by the National Statistics Institute (INE).

On the side of tax revenues, the state managed to raise in VAT 14.8342 billion euros. The collection of this tax, which generates more revenue for the state coffers, grew 7.4% compared to 2014 and exceeded by over € 340 million forecast.

However, revenues from IRS fell, contrary to what was the trajectory budgeted for the previous team of Finance, led by Maria Luís Albuquerque. To state coffers entered 12,693,300,000 euros, 1.3% less than in the previous year and about 475 lower than budgeted. The DGO attributes this to the decrease in revenues associated with capital income.

With the release of these numbers came confirmation that taxpayers will not receive any refund of personal income tax surcharge on the last year, through the tax credit released by the first government of Pedro Passos Coelho. This is because the added revenue from VAT and IRS were lower than expected in the budget.

In order for there return, partial or total, the surcharge was necessary that the two tax revenues surpass those of 27,658,800,000 euros, which did not happen. Revenues from two taxes amounted to 27.5274 billion euros. Although they have grown as a whole over the previous year, thanks to the good performance of VAT, were 131.4 million euros below the level from which would rise to repayment of the surcharge.

The measure of tax credit, which was the campaign theme, with the former finance minister to show his confidence that the return of the surcharge was more than a quarter of the amount paid, with respect to 2015 earnings and should not be confused with reduction in the surcharge which came into force this year according to the IRS brackets (keeping in only 3.5% for those with more than 80,000 taxable income of euros).

The IRC revenue continued to grow, rising 16.1% to 5246 million euros. But there were departures from some taxes in addition to the poor performance of the IRS

With the tax on oil and energy products (ISP) -. That the new government will worsen this year, leading to an increase of four cents in the price of diesel and five cents in the cost of gasoline – the state raised 2.2376 billion euros, up 6.9%, below the expected

But the tobacco tax, than this. year will also be compounded, yielded 1.2414 billion euros to the state, 11.3% less than in 2014. There were collected 158.8 million less than the previous year. But the deviation from the budgeted (the previous government provided increased revenue) is at least EUR 360 million.

Interest expense falls

On the side spending, was the decrease in personnel expenses, unemployment benefits, vocational training and the payment of interest which led to a reduction of 2.4% of spending, offsetting the “registered increase in investment item.”

Spending on personnel fell 3.1%. A part can be explained because of a 2014 base effect related to the termination of the program by mutual agreement in the civil service; another basic factor influencing this reduction has to do with the fact that in 2014, between June and September, there have been cuts in public wages, following the lead decreed by the Constitutional Court for a standard, then reworked by the Government; Another factor mentioned by the DGO has to do with the end of the contribution of public authorities to the health subsystem managed by ADSE.

According to the DGO, to the fall of the deficit was crucial to reducing the central government deficit in 1451 million euros over the previous year, the increase in the surplus of Social Security in 598.7 million euros, the balance of local and regional administrations to 517.8 million euros. In the latter case, the DGO stresses that this improvement is explained, above all, “the regularization of previous years’ debts below that recorded in 2014″.

The Social Security had a surplus of EUR 1028 million . The revenue collected from January to December amounted to 24,591 million euros and expenses totaled 23,562 million.