Tax Revenues to State Budget Decreased by 8.8%

In the five months of this year the Ministry of Taxes collected to the state budget 2 billion 882.7 million manats. Despite all the measures of forced collection of taxes, the Ministry was unable to achieve in terms of index funds listed in the state budget for the same period in 2014.

According to the Ministry of Taxes Analytical Information Department, the volume of collected taxes totaled 271.9 million manats or 8.8% less than in the first five months of last year. However, the report notes that the forecast was implemented by 101.6%, while the state budget for the current year has not been revised.

The non-oil-gas sector accounted for 1 billion 905.8 million manats, which is 11% less than in the same period last year. As a result of lower tax revenues from the oil sector, the share of non-oil-gas sector reached 66.9% instead of 55% last year.

Commenting on the situation with the execution of the state budget for 2015, an independent economist Rovshan Agayev said that in the first four months of this year, revenues were AZN 1.1 bn. (18%) less than in January-April 2914. He predicted that this rate of budget can be executed up to 16.6 - 17 billion. For the full execution of the state budget the government will need 4.5 billion manats. "Part of this amount (about 1.8 billion manats) can be covered by the free budget balance as of 1 January 2015. Probably because of the lack of funds the government will have to reduce public investment by 1.5-2 bn. manats," the expert said. ----08D