The IGIC enters so far this year 14% more than in 2019

REF tax revenues evidence the recovery, but also reflect inflation. / C7

Tourism and inflation contribute to the fact that the main Canarian tax has collected 1,158 million in seven months

B. Hernandez

B. HERNANDEZ The Gran Canarian palms

The
autonomous community has registered in the first seven months of this year a
growth of income from IGIC 64% compared to last year and 14% compared to 2019, the last pre-pandemic year, until reaching the
€1,158 millionaccording to data made public by the Canary Islands Tax Agency.

These figures show
economic recovery in the islands and
higher consumptionmainly due to the arrival of tourists, but also the
widespread rise in prices due to high inflation rates that are being registered since mid-2021.

Also, the causes of this increase are in the
rising costs of maritime transport after the stoppage caused by covid. Added to this, according to the Tax Agency
“a greater fulfillment of the obligations taxpayers tax".

COLLECTION

  • total figures
    The autonomous community has entered, both by REF taxes and by own taxes and transferred 1,883 million in seven months.

  • Canary Block
    This group of taxes corresponds to 69% of income, mainly to the IGIC. In total, Canarian taxes accounted for 1,303 million and an increase of 18% over 2019.

  • IGIC
    The most important tax in the autonomous community registered a collection of 1,158 million until July 31.

In absolute terms,
July income was 226.6 millionwhich means 74.7 million more than the same month of the previous year and 120 million more than in the 2020 financial year.

Canary Block

A percentage slightly higher than that noted by the IGIC is the increase in
Canary Financing Blockwhat rubs
18% over 2019. On the other hand, in the accumulated until the month of July, compared to the previous year, the rise is 60%. So, so far this year,
collection amounts to 1,303 million compared to the 1,105 million recorded three years ago, almost 200 million more.

Of this total figure for the collection of taxes derived from the REF, the
councils and municipalities receive 58%while
the autonomous community 'stays' the remaining 42%that is to say that of the 1,303 million, around 677 million go to local entities and the regional coffers maintain the other 525 million.

In addition to the IGIC, the most important tax, the Canarian Financing Block includes the
Arbitration on Imports and Delivery of Goods (Aiem) and the
Registration Tax.

In this second tribute,
between January and July there was a decrease of 22% compared to the same period in 2019, going from 13.3 million to 10.3 million. According to
Tax agencythe fall in this tax is due to the consequences of the crisis caused by the pandemic, but also
to the increase in sales of electric carswho do not pay this tax.

Instead,
the Aiem registered an increase of 75.5% in the first seven months of the year on 2019 and entered 19.4 million in July. Among the reasons for this rise are the economic recovery and the increase in maritime transport costs.

Own and assigned taxes

Regarding the total taxes managed by the Canarian Tax Agency -which includes, in addition to those derived from the taxes derived from the REF,
own and transferred- total 1,883 million in the first seven months of the year, a 50.38% increase over last year and 15% over the same period of 2019, in which it totaled 1,631 million euros.

In the first half of this year, IGIC collection grew by 11.7% compared to 2019. Given these data,
the Vice President of the Government of the Canary Islands and Minister of Finance, Román Rodríguezemphasized that the autonomous community has consolidated public spending that has more than doubled in the same period.

In addition, he stressed that when evaluating the tax collection growth, it must also be taken into account, with respect to the data of the
2019, which then the general rate of the IGIC was 6.5% and now it is 7%which explains part of the increase.

Source link