The IGIC until November exceeds the Government forecast for 2022

Between January and November, IGIC income has exceeded the forecasts of the Government of the Canary Islands. / COBER

Collection in 11 months has been 1,773 million, 13% more than estimated for the entire year, due to inflation and the reactivation of tourism

B. Hernandez

B. HERNANDEZ The Gran Canarian palms

At the close of
month of November,
Canary Islands there was already
surpassed by 216 million of euros the
IGIC collection planned for the whole year
2022mainly driven by the
inflation as well as the good data of the
turismo.

So, in front of
government estimate regional authority to enter during the past year around
1,558 million for this tax, when there is still a month to be quantified,
the figure rises to 1,773 million (13% more than), so it will not be difficult for this amount to reach 2,000 million euros at the end of the year, that is, almost 500 million more than initially forecast.

These income
exceed by more than 300 million the amount collected in the
same period of 2019the last year before the health crisis.

As for the set of
Canarian Financing Block -taxes derived from
REF- , the Canary Islands has already exceeded
2,000 million euros from January to November.

In addition to the almost 1,800 million IGIC,
the Aiem (the tax on imports) has generated 211 million for the regional coffers and
18.2 correspond to registration tax.

Also, this figure means
500 million more the income earned in all
2021, which at the end of the year raised 1,510 million. Of this item, 1,297 million corresponded to the IGIC, the main tax figure of the autonomous community.

IN FIGURES

  • Income
    In the first 11 months of 2022, the Canary Islands raised 2,010 million from the Canary Islands Financing Block.

  • IGIC
    The largest tax figure of the Block, the IGIC, has entered 1,773 million euros in total.

  • Growth
    This figure already exceeds the Government's forecast for the entire financial year of 2022 by 13%.

  • rates
    Along the same lines, the registration of rates exceeded the amount of last year by 67 million until November.

rates

Also they
fee income have experienced a significant rise throughout the year according to data from the regional Executive. In the first 11 months of last year, they were collected for this concept
€198 millionan amount that far exceeds that collected
last yearwhich stood at
131 million until the month of November.

Despite this increase and the
continuing claim of the opposition about what
the IGIC is lowered to alleviate the situation of families and companies, so far
The Government of the Canary Islands has rejected this possibility when considering that the regional administration also 'suffers' from rising prices and therefore, its initial estimates, mainly those referring to current spending, have skyrocketed.

In this sense, the Ministry of Finance has indicated as an example that the electricity bill of the structure of the regional administration was estimated at 29 million and will finally be 52, while pharmaceutical spending will become more expensive by about 40 million.

“Particularly tough” year

These repeated explanations do not satisfy the opposition and the CC leader, Fernando Clavijo, insisted yesterday on demanding a drop in the general rate of the IGIC from 7% to 5% in the face of a year that he predicts is "especially tough." He considers that the Canary Islands are "making an August" with the collection since it is one of the great beneficiaries of the rise in inflation and the money "stays in the bank accounts" since there is no improvement in services or helps the groups that "have the worst time".

In his opinion, this reduction must be accompanied by the elimination of the fuel tax, which could influence the price of diesel by around 22 cents and gasoline by another 26 cents. The senator also criticized the "triumphant" attitude of the Government because he has given up, he says, to manage the crisis and "denies reality." Clavijo points out that the community suffers the greatest increase in prices of the shopping basket and the "gap" with the rest of Spain "is widening" after the drop in VAT on basic products and the elimination of 20 cents on fuel .

The deputy of the PP, Fernando Enseñat. / c7

For the PP, inflation is "insane"

The deputy of the Popular Party, Fernando Enseñat, considers that the "insane" collection that has been registered in the autonomous community throughout the year allows a "temporary" reduction in taxes so that, both families and companies, can cope with the economic crisis and rising prices.

In this sense, the parliamentarian criticizes that while inflation generates this increase in income for the regional administration, "there is the other side of the coin, and that is that each family loses around 1,600 euros annually from the value of their salary, which is as if he stopped entering 113 euros every month ».

For this reason, it insists on the need to proceed with a reduction in the IGIC "for a certain time until we get out of this situation." At the moment, he explains, "the reading that the Government makes that the Canary Islands economy is growing is not true" and points out that "we are still recovering from the collapse suffered by the pandemic in 2020."

In his opinion, and looking at other autonomous communities that have carried out a tax reduction -he cites Madrid and Andalusia, both governed by the PP- this measure generates more revenue because the economy is reactivated.

In this legislature, points out Fernando Enseñat, "the Canarian community has not had money problems, it has had the highest budgets in history- but rather management and execution", for which he maintains that public services can be promoted and consolidated , provide local administrations sufficiently, assume the increase in costs derived from inflation "and lower the IGIC so that families and companies in the archipelago can make ends meet."