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FinMin: Tax and Levy Incomes Should Be Higher Than Expected
Friday 24 September 2010 Zoom in | Print page
Bratislava, September 24 (TASR) - Public-administration tax and levy incomes should increase by €108 million this year, which represents 0.3 percent of GDP, when compared to predictions made three months ago, according to the current tax prognosis published by the Finance Ministry on Friday.
According to Finance Minister Ivan Miklos, total incomes should rise by €771 million, or 1.1 percent of GDP, next year. In 2012 and 2013, meanwhile, the ministry is counting on taxes and levies rising by €669 million and €679 million, respectively, or 0.9 and 0.8 percent of GDP.
"The increase in incomes for 2011-13 compared to the prognosis in June has been caused especially by an increase in the estimate for 2010, which will be projected into the following years, and by the positive influence of legislative measures," reads the report. On the other hand, the positive effects will be partially cancelled out by a worsened macro-economic environment due to fiscal consolidation. Despite these positive prognoses, overall state incomes are still €887 million (1.3 percent of GDP) lower than the state-budget estimates for 2010 approved last year. The same situation is expected next year, with the difference equalling €694 million (1 percent of GDP), and in 2012, when even a €1.272-billion (1.7 percent of GDP) difference compared to original expectations is foreseen.
The revised prognosis also includes a one-off increase in the VAT yield next year by €150 million due to the expected handing over of sections of the second PPP road-building project. When it comes to the influence on the state budget, this will be neutral, however, as the one-off increase in incomes will be cancelled out by costs with approximately the same value.
After current macro-prognoses and legislative changes are taken into account, state-insurer Socialna Poistovna also expects higher incomes compared to the most-recent prognosis - of €48.1 million this year, of €188.8 million next year, and of €167 and €169 million in 2012 and 1013. The most-recent prognosis for health-insurance levies should rise by €23.7 million. A similar trend should continue in the next three years, with the difference from the most-recent estimate rising to €103.3 million in 2013.
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