The Tribune

REVENUE PERFORMANCE: As he turned to the Nine-Month Fiscal Performance for FY2023/24, Mr Davis says total revenue for the first three quarters of the 2023/2024 fiscal year amounted to $2.2bn. This marks an increase of $112.4 million, or 5.4 percent, as compared to the previous fiscal year, he says. At this time, total revenue stood at 66 percent of the budget forecast, not out of line with expectations owing to timing considerations.

Mr Davis says this improvement in revenue performance resulted from an increase in tax revenue of $136.9 million to a total of $2 billion. Tax revenue to date amounts to 67 percent of the budget forecast. Mr Davis says it is evident that the increase in revenue cannot solely be attributed to inflation, but rather to the diligent collection efforts of our dedicated public officials.

Revenue highlights:

Taxes collected on property grew by $18.4 million and totalled $145.6 million, representing 74.6 percent of the budget target.

Real property tax accounts increased by 3 percent increase in 2023 compared to 2022, and a further 2.3 percent increase in 2024.

VAT receipts improved by $58.5 million, or 6.3 percent, and amounted to $993.9 million following amendments to the VAT Act strengthening collections enforcement.

Stamp Taxes on financial transactions and VAT on real estate transactions grew by $2.8 million and totalled $82.5 million, or 71.9 percent of the budget estimate.

Mr Davis noted revenue underperformance for VAT on real estate transactions. The budget forecast for VAT on realty transactions over $1 million, is $190.3 million. Mr Davis says the department has only collected $15.1 million or 7.9 percent of this total at the end- March 2024.

Excise Taxes on alcohol and tobacco totalled $16.7 million - a $15 million increase from the same period last year.

Licenses to conduct special business activity, which comprise business licenses and communication levies, increased by $43 million and totalled $126.3 million.

Taxes on international trade and transactions increased by $11.1 million and totalled $502.3 million, Mr Davis said.

Customs and other import duties increased by $4.4 million in the first three quarters of the 2023/2024 fiscal year. Departure tax collections increased by $7.2 million and totalled $134 million.

Mr Davis says while non-tax revenue met an overall decrease of 9.0 percent period-over-period, sales of goods and services improved by 13.4 percent. He attributed this to an increase in revenue garnered from fees and service charges. Non-tax revenue equated 59.2 percent of the budget projection, he says.

Mr Davis says based on revenue performance to date, the govt expects all major revenue components, with the exception of VAT on real estate transactions, to meet revenue targets.

“I want to express my gratitude to the public, including the private sector, for their cooperation in meeting tax obligations, and acknowledge the significant efforts made by our country’s revenue collection agencies, to collect that which is owed under the law,” he said.