Taxpayers keep revenues rolling in
The Greek state cashed in 650 million euros from the extraordinary solidarity tax and the self-employed professionals? tax in September, according to the Finance Ministry.
Out of a total 1.6 billion euros expected to be collected by the end of the year, almost two-fifths was cashed in last month alone, as according to ministry officials many taxpayers rushed to pay their bills in order to secure a small discount.
As a result, state revenues expanded by 10.65 percent last month (before tax returns) compared with September 2010, a trend which is expected to continue in the coming months with the payment of the special charge on properties which will be added to electricity bills.
Net budget revenues posted a 3.17 percent increase, while tax authorities saw their inflow climb by 22 percent compared with September 2010 despite the negative figures from value-added tax. Revenues from customs declined by 5 percent, largely due to slowing imports.
In the first nine months of the year the budget revenues were lagging the same period last year by 4.2 percent. According to the first revision of the budget, the shortfall amounts to 3.6 billion euros, while the newly revised budget estimates the gap at 500 million euros. In order for the 2011 budget to be executed in full, the state must bring in 16.6 billion euros by the end of the year, or 5.5 billion per month.
Despite their financial problems and shrinking disposable incomes, taxpayers appear to be fulfilling their tax obligations, paying out the amounts that the Finance Ministry has asked them for through their tax statements that it will keep sending out up to the end of the year.
The government expects to cash in on the following number of charges by December 31: By the end of February 2012, more than 1.6 billion euros is expected to go into state coffers from the solidarity tax, the self-employed professionals? tax and other charges, all of which will count toward the 2011 budget. The Finance Ministry is yet to send out about 1.5 million tax statements. The original estimate for revenues of 1.7 billion euros from the new property charge tagged onto electricity bills may well grow beyond this, with the first installment set for this month and the second in December. The settlement of outstanding income tax cases from previous years and the main income tax from this year are also expected to offer a boost to state revenues.
