These are not the increases recorded last year, when inflation and the definitive recovery from the pandemic triggered the figures by almost 20%; Tax Office continues to grow more than a considerable proportion in the state. Especially if we take into account the moderation of activity that is beginning to be noticed in some economic sectors such as industry.
Latest official data reflects public utility’s entry into Alicante 2.903 million euros until last july 10.3% more Compared to the same period in 2022, when the absolute collection record was broken in the province. This is also an increase significantly higher than those recorded at the state levelThe total increased by only 3.9% over the same period, also slightly better than the 9.6% recorded for autonomy as a whole.
The key to this evolution must be sought in particular in the good performance of the Personal Income Tax (IRPF), which contributed approximately 1,283 million euros, or 11% more. This is where most of this money comes from withholding taxes on payrolls, pensions and payments of self-employed workersThe total is 908 million euros, i.e. 12.2% more, as a result of the increase in the employed population and also the increase in salaries and especially pensions following the strong revaluation they experienced at the beginning of the anus. In other words, The resilience of the labor market also helps protect public revenues.
However, the increase in income also result of annual declaration Since this year, the number of taxpayers has increased by more than 15% in positive terms increased much more than returns.
Benefits
In addition to personal income tax, it was also the tax figure that increased the most in the first months of the year. Corporation tax, which taxes business profits. Companies based in the region paid almost 192 million euros in the first seven months of the year. 60% more compared to the same period last year. some numbers that reflect improving resultsThanks to the economic recovery in the last two years, the situation of many businesses has worsened, but also margin increase This is a practice that many companies use to take advantage of inflation.
Faced with advances on the previous two taxes VAT It reflects a much more moderate development in the province during this period. Data from the Tax Office shows a collection of 1,245 million euros; this is only 4.4% more than in 2022. Moderate growth compared to Personal Income Tax and Corporate Tax, there are several reasons for this. First 11 percent decrease in VAT collection on imports, This reflects that companies have reduced their purchases from abroad. It’s a move they anticipate a decrease in activity as it means they will receive less supplies.
However, there is also a more hesitant progress in collections from internal operations. Sales of Alicante companies in Spain increased by only 5%. In this context, it is reminded that in the Tax Office’s own monthly report, the figures are compared with a period in which inflation increased from 2.6 percent to double digits, and moreover, in the first months of last year, the VAT reduction was still not realized. Regulations regarding electricity, gas and food have been implemented and are currently in force.
Reductions in communities reduce 1.677 million
Reductions in the regional income tax section, which many autonomous communities approved in their budgets last year, have led to a cut of 1,677 million from collections so far this year, many times with an apparent election target for last May’s elections. This amount is larger than the savings achieved due to the VAT reduction on basic food items, which has cost the public coffers $963 million to date, according to the Tax Office’s data.