Part two of the Ministerial Statement delivered by Minister of Finance Chris Sinckler.
Recent Fiscal data -Year- to-date Comparative Analysis
Current Revenue
Preliminary information received from the Accountant General indicates that current revenue for the period April 1 to October 31, 2013 was $1 135.0 million, a decrease of $135.3 million or 10.7 per cent from the amount recorded for the corresponding period during 2012. This amount was $277.8 million less than the original projection.
Taxes on incomes and profits realized $238.9 million, an amount of $105.1 million or 30.5 per cent less than that collected for the corresponding period in 2012 and $140.4 million less than the original projection for the period.
An amount of $64.2 million less was collected for Corporation taxes when compared to the corresponding period in 2012. It should be noted that refunds of corporation taxes were $25.3 million for the period under review while they were $2.8 million for the corresponding period in 2012-2013.
With respect to income taxes, $38.4 million less was recorded for the period April to October 2013. It should be noted that refunds of income taxes were $97.7 million for the period under review while they were $94.6 million for the corresponding period in 2012-2013.
 In addition, the loss of revenue is attributed to the changes in the tax bands which came into effect on August 01, 2012. Withholding taxes decreased by $4.3 million from the corresponding period in 2012. Consolidation taxes collected for the month of October 2013 was $1.8 million.
Taxes on property increased by $29.1 million over the corresponding period in 2012-2013 to $93.9 million. This is as a result of a greater number of persons paying their land taxes early in order to gain the 10 per cent discount on the bills.
Taxes on goods and services decreased by $46.8 million or 7.0 per cent to $622.7 million. The original projection for the period was $731.0 million. Receipts of VAT totalled $475.1 million, a decrease of $42.2 million over the corresponding period in 2012-2013. VAT refunds for the period under review were $49.7 million compared to $20.3 million in the corresponding period last financial year.
In addition to the increase in VAT refunds, the decrease in VAT can be attributed to the fact that some businesses filed returns but were not paying the amount owing because of cash flow problems and also businesses were making use of free available credit.
Excise Duties recorded $80.9 million, a decrease of $4.5 million from the actual outturn for 2012 and $21.6 million less than the original projection.
Import duties decreased by $1.0 million to $113.5 million. This represented a decrease of 0.9 per cent from the amount collected in 2012. The original projection for the period under review was $122.1 million.
Special Receipts increased by $6.5 million to $17.5 million. This is due to an increase of $6.1 million in the Training Levy. Â
Non-Tax Revenue recorded $43.0 million, an amount of $11.9 million less than the amount collected in the corresponding period in 2012. It is to be noted that there was a $12.5M dividend from the Barbados National Oil Company Limited recorded in May 2012.
A similar amount in dividend income was projected to be received for the period under review but this was not achieved. The original projection for the period under review was $84.1 million.
Expenditure
Current expenditure, exclusive of amortization of $444.7 million, decreased by $14.3 million or 0.8 per cent from the 2012 figure to $1 592.5 million.
Wages and Salaries increased from $468.6 million in the corresponding period of 2012 to $473.0 million. The original projection was $478.3 million.
Expenditure on goods and services decreased by $17.9 million to $180.2 million. The original projection for the period was $192.0 million.
Expenditure on current transfers decreased by $23.4 million, moving from $572.7 million in 2012 to $549.4 million for the period April to October 2013. The original projection for current transfers was $563.0 million.
Capital expenditure for the period under review was $53.5 million compared to $41.6 million for the corresponding period in 2012. Capital formation increased by $10.6 million and capital transfers increased by $3.0 million. It should be noted that the original projection for capital expenditure was $68.2 million.
Total expenditure for April to October 2013 was $2 090.7 million compared to $1 933.7 million in the corresponding period of 2012. The original projection for the period was $2 091.5 million.
