Brazil’s tax revenue increases by 17.36% in 2021 to reach a record figure
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Brasília, January 25 (Reuters) – Brazil’s federal tax revenue totaled 1.879 trillion reais in 2021, up 17.36% in real terms from 2020, a record since the data series began in 1995, the revenue service said on Tuesday. .
Revenues were boosted by an extraordinary collection of 40 billion reais in corporate taxes, according to the government, which attributed the overall performance to economic recovery after Latin America’s largest economy was badly hit by the coronavirus epidemic in 2020.
The result was also helped by a surge in oil prices and the depreciation of the Brazilian currency, which ended up increasing royalty income for the year.
According to the revenue department, royalties increased by 53.73% in 2021 compared to the previous year to reach 77.6 billion reais.
In December, federal tax revenues reached 193.9 billion reais, an increase of 10.76% in real terms compared to the same month of the previous year, also the highest level ever recorded for the period.
The performance of tax revenues has been a big help to public accounts, with Economy Minister Paulo Guedes saying the public sector will post a small primary surplus in 2021, its first since 2013.
(Reporting by Marcela Ayres; Editing by Mark Porter)
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