Only the income tax is a positive development 3

If companies saw their sales decline in the first half, that of the State is also in free fall: in late June, tax revenue fell by 24.7 per cent from their level in the same period last year, said the monthly budgetary situation of the State published yesterday by the Ministry of the Budget. Net tax revenues are thus EUR 108.5 billion at June 30, compared to 144,1 billion year last on the same date. After payment of the deposit in June, the collection of tax (IS) did reach that 5.6 billion to EUR 28.5 billion year last on the same date. A decline of more than 80. VAT revenues, they fell by 16.4, to EUR 54.5 billion, and the internal tax on petroleum products (TIPP) fits 12.1, 7 billion. Only the income tax is a positive development ( 3.3, to 31 billion). But revenues are, for the most part, still based on the remuneration of 2007.

127 billion expected

With a gross domestic product should fall to about 3 this year, the recession says height of three quarters (26.7 billion on the decrease of EUR 35.6 billion) the decline in revenues. If the consumption of households has not collapsed, nine housing market declining deprives the State of revenue from VAT and prices for consumption, decline over one year, weigh on the collection. If the Department notes that it has also accelerated the processing of requests for VAT refund losses linked to the situation amounted to 7.3 billion euros. "Due to the degradation of the results of firms in 2008", based on the calculation of the instalments, the lack of profits tax on corporations is monte, him, 17.3 billion. "On these two taxes, revenue in the June 30 does not call into question ranges announced on the public finance policy debate", in June, however, indicates Bercy: it waits between 20 and 25 billion euros of IS this year (half less than in 2008) and between 120 and 122 billions of VAT. Prudent, the Ministry draw no conclusion semi-annual results companies published in recent weeks by the companies. "The companies publish accounting results." "The interpretation that we can get on the IS that they pay is complicated," judge the entourage of Eric Woerth.

The stimulus measures announced in December last year weigh the quarter remaining (8.9 billion) on the decline in tax revenues. This reflects the support to the cash flow of enterprises through reimbursements anticipated (in tax credit research, report back IS deficit and appropriations for VAT). Non-tax revenues (dividends of the interests of the State, Caisse des Dépôts, etc.) know little or less the same evolution as other revenues:-26,3 at end of June, to 7.8 billion euros. The budget deficit of the State is therefore 86.6 billion at end of June, compared to 32.8 billion at the same date 2008. In its latest forecast, the Government now expects a deficit of the State of 127 billion this year.

Back to budgetary debates should focus on expenditure control and the search for savings. To temper the evolution of the tax expenditure - niche-, which some have more than doubled in recent years (see below), the "Sunday Journal" referred last weekend parliamentary tracks as a franchise or a falling general rate of tax reduction. "There is a debate in Parliament on this issue," said yesterday on RTL, the spokesman for the Government, Luc Chatel. But given the amounts involved, the debate will be in no doubt more wide.