Increase of receipts to Azerbaijani State budget is related to rising of tax potential, research shows

The ratio of receipts to state budget for 2011 to GDP is 4.7% higher than affirmed index, 7.3% than index in fact and it means that the tax potential increased in the country, said the analyze on “influences of amendments in state budget for 2011 to macroeconomic stability, economic development and social welfare” prepared by expert group of the Center for Strategic Studies under the President of the Republic of Azerbaijan on analyze of economy and globalization issues.

According to the analysis, budget income/forecast GDP ratio will be 34.7%.AZN 770 mln of budget incomes growth will be formed by tax and customs receipts (including AZN 740 mln via Ministry of Taxes, AZN 20 mln via State Customs Committee), AZN 2,723.2 mln by State Oil fund: “According to analyze on materials, 20% growth is expected to be on individuals income tax, 21% - on legal entities’ profit taxes, 6.4% - on VAT, compared to a year earlier. The growth on all of these income components show that financial potential, population’s income rose, in Azerbaijan. Other important factor of amendments in budget is that, the growth on non-oil sector AZN 110 mln or 4% compared to a year ago. Consequently, receipts from non-ol sector will increase from AZN 2.740 mln to AZN 2.850 mln”.

About expenditures, budget expenditures/forecast GDP ratio is expected to make 35.4% (consolidated budget – 41.6%), up 3.7% compared to affirmed index, 7.1% from year earlier.


/APA/