PRELIMINARY figures show that tax revenue flowing to the state in 2010 amounted to €7.962 billion, according to a document published by the Finance Ministry’s Financial Policy Institute in mid January. That revenue lagged €37 million behind the budget that was revised by the government during 2010 and was much less than the original budget which projected revenue of €8.62 billion.
The incoming government of Iveta Radičová revised the original 2010 budget to correspond with the economic developments that were actually taking place in Slovakia in 2010.
Slovakia’s value added tax traditionally brings in the largest portion of government revenue and stood at €4.432 billion for 2010, €20.9 million better than the revised budget plan. On the other hand, corporate income taxes brought only €1.258 billion in revenue, less than the €1.320 billion projected in the revised budget and more than €500 million less than the €1.786 billion contained in the original 2010 budget. The Financial Policy Institute stated that this gap is attributable to reduced profitability in the corporate sector due to the economic downturn.
28. Feb 2011 at 0:00 | Compiled by Spectator staff