In August, tax collection increased by 72.2% and lost to inflation

Raising in August reached $ 1,731,319.5 million, an increase of 72.2% compared to the same month last year and therefore accumulates an annual increase of 71.2% in the first eight months of the year as reported last night by the Ministry of Economy.

Annual inflation has reached 71% and is expected to be 75% in August. In this way, the collection rises less than the prices of the economy.

In this regard, the ministry highlighted that “the process of expansion of fiscal resources towards the second quarter of the year is thus consolidated”. And he stressed that this dynamic was driven by the growth of the resources of the social security and those related to the internal market.

As detailed by the collection agency, the state coffers have benefited in the last month mainly from the execution of the VAT, income tax, debt and credit tax and taxes associated with social security.

As for pension resources, which grew by 81.4% in one year, their expansion was explained by the improvement in wages and the growth in employment recorded. The increase reflects the growth in employer contributions (83.7% y / y) and the increase in personal contributions (77.8% y / y).

On the other hand, the evolution of these taxes continues to be affected by the exemptions granted by the State to lighten the tax burden on the health sector, in the context of the post-pandemic.

Taxes related to recent economic activity have contributed to the growth of national collection. Within this group, the tax on credits and debts (82.4% y / y), VAT (86.6% y / y), shared internal taxes (93.5% y / y) stand out. and liquid fuels (4.2% y / y). ia). In particular, “the collection of the tax on fuels resulted from the failure to update the tax value”, said the Ministry of Finance.

On the other hand, the taxes they grant “progressivity of the system overall, it recorded an increase of 66.8% on an annual basis. Income taxes increased in the year by 81.6%, due to the registration of the second installment of the payment facilitation plan for Human Persons for the balance of the fiscal year 2021 and of the third advance of the corresponding Companies with balance closing in December at taxes for the year 2022.

Furthermore, the improvements recorded in the labor market and the reform implemented in 2021 of the rates applicable to businesses (Law no. 27.630) had a positive influence on the collection of taxes. For its part, the tax on personal property recorded a growth of + 3.1% year on year, due to the high comparative basis of the month of August 2021. In that month, the the expiration of the balance of the sworn declaration of Human Persons, while this year this deadline was in June.

Taxes on foreign trade showed an inter-year variation of 29.7%. In particular, import duties and the statistical rate grew by 104.4% and export duties increased by 3.8% in one year.