Ministry of Finances issued a report on the public finances’ performance during 2014, by declaring that revenues increased by 14% compared to a year before, from 288 ml ALL to 329 ml ALL. One of the main indicators that brought these results is the allocation of the profit tax, which increased significantly by 42%, compared to 2013.
National taxes increased by 16.5% meanwhile excise duty on tobacco, coffee, alcohol and hydrocarbons brought 14.2% more revenues to the state budget, compared to revenues collected in 2013. But the government has decreased many other taxes. Based on the new fiscal policy, taxes on the employees’ incomes decreased by 4.6% compared to a year before as well as non-tax revenues, which decreased by 5.4%.
These policies have brought positive changes in the allocation of revenues to the state budget, since revenues increased by 14.9% this year. Social insurance contributions increased by 9.5%, while health insurance contributions by 16.4%. At the same time, the report shows that budgetary expenses increased as well but inversely proportional to revenues. The government decided to cut public investments, in order to allocate more money to the state budget.
As for the costs of unemployment allowance, they increased by 12.9% this year for the payment of social assistance and 5.8% more for the social insurances. The report issues that the budgetary deficit for 2014 decreased by 38.5%, compared to figures of 2013.
News source/photo credits: Shqiptarja.com