Business profit tax, the budget collects 30 million euros less in three months

Revenues in the state budget from profit tax have taken a sharp turn, while until now they were registered in continuous growth. Referring to the fiscal data of the Ministry of Finance, while other income items have had an increasing performance, income from tax-profit has decreased by 3 billion lek, or 30 million euros in relation to the same period of a year ago. , translated into 13.7% less.

Thus, according to the analysis made by SCAN TV, in the period January-March, income from tax-profit was realized in the amount of 18.7 billion ALL from 21.6 billion ALL that were a year ago. What has been noticed in the last 5 years, analyzing the same period, is the increase in income progressively over the years from this item, starting from 9 billion ALL in the first 3 months of 2020 and to reach to ALL 21.6 billion in 2023, while now for the first time in 5 years there is a decrease.

According to Finance, the negative effect of the profit tax during this year is because in 2023 this item also included the extraordinary tax on electricity producers which was applied only in that year, the income of which was 4 billion ALL. Deducting this tax, the real effect on growth is ALL 1 billion.

Income tax is paid quarterly or monthly in advance during the year, based on the data of the previous year's taxable income statement.

According to taxes, there are currently nearly 16,000 enterprises across the country that pay profit tax, since small businesses with a turnover of 0-14 million ALL are excluded. The income tax rate for taxpayers with annual income over ALL 14 million is applied at 15% of taxable income.

While this year, over 29,000 businesses owned by freelancers will prepay profit tax at a progressive rate of 15-23%, and as a result, the income from this item is expected to increase.

Currently, the Profit Tax accounts for 24.2% of the annual tax revenue, ranking third in terms of weight in the budget, after VAT and Personal Income Tax.