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Brazil’s federal tax collection to reach US$385 billion in 2022, the highest in 27 years

Federal tax collections reached R$172.038 billion in November, representing an actual increase – adjusted by the IPCA – of 3.25% compared to the same month in 2021. This is the best result for the period since 2013.

In the year to date, between January and November 2022, the collection reached R$2.008 trillion (US$285 billion), a natural increase of 8.80% compared to the same period last year.

This was the best tax collection performance since 1995, the beginning of the historical series. The data was released on Wednesday (Dec. 21) by the Federal Revenue Service.

Brazil's Federal tax collection to reach US$385 billion in 2022, the highest in 27 years. (Photo internet reproduction)
Brazil’s Federal tax collection is to reach US$385 billion in 2022, the highest in 27 years. (Photo internet reproduction)

During a press conference, the executive secretary of the Ministry of Economy, Marcelo Guaranys, said that the positive data prove the results of the work of the Ministry of Economy over the past four years, with increased tax collection without tax increases.

He also highlighted the clear strategy of fiscal consolidation, improving the profile of public spending.

Julio Cesar Vieira Gomes, Special Secretary of the Federal Inland Revenue, pointed out that the increase in the collection in 2022 occurred even under the implementation of necessary tax cuts throughout the year, covering practically all federal taxes.

The revenues managed by the Federal Revenue Service totaled R$ 165.641 billion in November 2022, representing a natural increase of 2.53% compared to November 2021. Considering the accumulated period from January to November 2022, the collection of managed revenues reached R$ 1.881 trillion, a natural increase of 7.16% compared to the same period last year.

The increase recorded in the period can be explained, according to the agency, mainly by the growth in collections of Corporate Income Tax (IRPJ) and Social Contribution on Net Income (CSLL). In November, the IRPJ and CSLL totaled R$30.795 billion in collections, a growth of 15.16%. This result is explained by the 19.27% absolute increase in the collection of the monthly estimate.

The collection of social security revenue was R$45.814 billion, an actual increase of 3.87%. This result is mainly due to the 12.93% absolute increase in the salary mass. The Revenue Service points out that there were atypical payments of approximately R$ 2 billion by companies linked to the commodities sector.

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