Central Government Budget Revenue and Tax Refund Results of January 2019
Budget result of the first month of 2019 has been published by Ministry of Treasury and Finance. For the first month central budget result indicates 5 Billion TL surplus. Budget balance for same month of previous year was 1,7 billion TL plus. Performance of revenue and tax refund side of the budged detailed as follows.
Budget Revenues
General budget revenues of January 2019 have increased 70,8% compare to same period of previous year. There are two components of budget revenues. Tax revenues and revenues other than tax. While increase in tax revenues is 7,1%, increase on non-tax revenues is extraordinary which is 3,279.5%. The reason for such increase in non-tax revenue is the early distribution of extraordinary profit of Central Bank to Treasury.
Detail of tax revenues in Jan 2019 and in Jan 2018 has been summarized as in following table.
| Jan 2018 (Thousand TL) | Jan 2019 (Thousand TL) | Change (%) | |
|---|---|---|---|
| I-Tax Revenues | 51.995.609 | 55.674.824 | 7,1 |
| Income Tax | 12.926.263 | 14.624.726 | 13,1 |
| Corporation Tax | 668.079 | 1.078.531 | 61,4 |
| Inheritance Tax | 41.468 | 40.785 | -1,6 |
| Motor Vehicle Tax | 4.288.031 | 4.474.886 | 4,4 |
| Internal VAT | 8.235.592 | 7.835.982 | -4,9 |
| Special Consumption Tax | 11.540.329 | 10.582.453 | -8,3 |
| Oil and natural Gaz | 5.043.355 | 4.383.796 | -13,1 |
| Motor Vehicle | 1.294.993 | 385.655 | -70,2 |
| Alcohol | 1.020.162 | 1.628.838 | 59,7 |
| Tobacco | 3.673.031 | 3.853.087 | 4,9 |
| Cola Drinks | 19.543 | 46.549 | 138,2 |
| Durables | 489.245 | 284.486 | -41,9 |
| Bank and Insurance Tax | 1.677.960 | 2.431.266 | 44,9 |
| Lottery Tax | 132.308 | 141.333 | 6,8 |
| Special Communication Tax | 334.632 | 305.387 | -8,7 |
| Custom Tax | 824.944 | 1.047.232 | 26,9 |
| VAT on İmportation | 6.650.469 | 8.139.479 | 22,4 |
| Stamp Tax | 1.697.863 | 1.970.539 | 16,1 |
| Fees | 2.944.184 | 2.957.162 | 0,4 |
| Juridical Fees | 325.285 | 346.437 | 6,5 |
| Notary Fees | 244.888 | 253.370 | 3,5 |
| Tax Juridical Fees | 46 | 57 | 23,9 |
| Title Deed Fees | 920.509 | 561.234 | -39,0 |
| Passport and consular fees | 71.255 | 87.826 | 23,3 |
| Ship and Harbor Fees | 1.903 | 5.131 | 169,6 |
| Certification and Diploma Fees | 11.987 | 13.268 | 10,7 |
| Traffic fees | 37.862 | 47.943 | 26,6 |
| Other Fees | 1.330.449 | 1.641.896 | 23,4 |
.
As is indicated in the table, performance of corporation tax and bank and insurance tax is outstanding. Especially due to dramatic increase in interest rate, bank and insurance tax has increased 45%. On the other hand, tax on consumption like internal VAT, special consumption tax, special communication tax and fees made no increase at all. Best indicator of Turkish Economy’s dynamic, like special consumption tax on motor vehicle has decreased 70%. Same goes with title deeds transfer fee. The fee has also decreased 39%.
Tax Refunds
Tax refund results of January 2019 and 2018 has been outlined as in following table.
| Jan 2018 (Thousand TL) | Jan 2019 (Thousand TL) | Change (%) | |
|---|---|---|---|
| Tax Refunds | 4.700.688 | 6.631.375 | 41,1 |
| Income Tax Refund | 376.126 | 335.353 | -10,8 |
| Corporation Tax Refund | 91.503 | 169.721 | 85,5 |
| Inheritance Tax refund | 2.230 | 1.770 | -20,6 |
| Motor Vehicle Tax Refund | 3.659 | 6.744 | 84,3 |
| VAT Refund | 4.042.564 | 5.968.807 | 47,6 |
| Refund for reduced rates | 1.289.862 | 1.808.149 | 40,2 |
| Refund for reverse charge | 50.909 | 59.550 | 17,0 |
| Refund for exportation | 2.701.793 | 4.101.108 | 51,8 |
| Special Consumption Tax Refund | 53.330 | 55.088 | 3,3 |
| Bank and Insurance Tax Refund | 1.505 | 274 | -81,8 |
| Special Communication Tax Refund | 99 | 2 | -98,0 |
| Custom Tax | 20.717 | 15.433 | -25,5 |
| Refund for VAT on Importation | 4.608 | 4.578 | -0,7 |
| Stamp Tax Refund | 76.516 | 24.275 | -68,3 |
| Fees for Refund | 27.491 | 48.679 | 77,1 |
Tax refund has been increased 41 % compare to January 2018. Main tax refund is the VAT refunds. While VAT refund arise from reduced rate has been increased 40,2%, VAT refund arise from exportation of goods and services has been increased 51%. It seems that VAT refund in January 2019 is accelerated.