FinMin: Tax income down 50% in May, 27% decrease in contributions

Finance Minister Zdravko Maric on Wednesday informed that budget revenue from taxes fell by 50% in May on the year while contributions decreased by 27% in that period.

Speaking ahead of an inner cabinet meeting, Maric said that May will prove to be the most challenging month with regard to filling the budget because April saw some funds being drawn from taxes relating to early March." 

He added that it was good that the COVID-19 epidemic is not worsening because that would mean that June would be "even more challenging."

As far as fiscalised receipts are concerned, their total value in April was about 40% lower year on year, he said whereas in May they were 18% lower. There are some differences depending on the activity involved. For example in retail the value of fiscal receipts was 5% less and if we consider that lockdown measures were gradually lifted as of May 4, then that fall was just 0.7%, he said.

However the decrease is still obvious particularly in hospitality and tourism, he added.

Commenting on a claim by the Social Democratic Party that the government was copying SDP's motion for a shorter working week, Maric said that the government isn't copying anything but had introduced measures from the very start of the crisis that were good and particularly targetted regarding time.

"The answer to whether we acted well is hidden in data on the labour market," he said, adding that the "business sector responded positively to the government's measures, particularly with regard to the labour market where there were no dramatic negative trends with regard to the coronavirus."

He announced that the government would on Thursday present "further steps with regard to the functioning of the labour market."

Text: Hina

News