By William Jones, Contributing Reporter

RIO DE JANEIRO, BRAZIL – According to the Receita Federal, the Brazilian internal revenue service, the collection of federal taxes totaled R$112.5 billion for the month of November, a record high. During the year the total taxes paid in Brazilian society hit the mark of R$1 trillion for the first time. The total collected between January and November was R$1.019 trillion, an increase of 3.63 percent over last year.

Brazil Tax Revenues Reach Record High, Rio de Janeiro, Brazil News
Carlos Alberto Barreto, Secretary of the Receita Federal, believes revenues will continue to increase, photo by Renato Araújo/ABr.

Experts suggest that the Brazilian government collected a high amount in November due to payment of arrears by taxpayers who joined a program to pay tax debts in installments. The collection has also been said to be enhanced by increased corporate profitability which have boosted the funds.

The secretary of the Federal Revenue service, Carlos Alberto Barreto, said that the good revenue performance from November should maintain its pace in December and was confident that government funds will be strengthened by new the installment program, which has helped the collection of the last month of the year to hit a record high and stay at R$112.5 billion.

“The collection in December will be higher than last year’s,” said Carlos Alberto Barreto. “We remain optimistic about the economic indicators and also have the flow of taxes from the fact that companies have joined the installments program.”

Contributions to the Social Security (COFINS) tax pool raised R$176.4 billion in the first eleven months of 2013, with a real growth of three percent, while the Social Contribution on Net Profits (CSL) recorded revenues of R$59.6 billion this year with a real increase of three percent. However, tax on industrial roducts (IPI) totaled R$43.6 billion in the first eleven months of this year, which represents a fall of 4.19 percent.

Read more (in Portuguese).

* The Rio Times Daily Updates feature is offered to help keep you up-to-date with important news as it happens.


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