NASSAU, BAHAMAS — Revenue collection for the first quarter of the 2022/2023 fiscal year has surpassed last year’s performance by nearly $58 million, according to the Ministry of Finance.
The Ministry of Finance in a statement on the first quarter fiscal snapshot noted that revenue collection for the first three months of the fiscal year 2022/2023 is estimated at $654.3 million, surpassing the prior year’s collections by $57.8 million (9.7 percent).
“Key improvements in tax revenue were noted for Value Added Tax ($35.4 million), departure tax ($26.9 million), excise duties ($23.6 million), stamp taxes on financial and realty transactions ($1.8 million), gaming taxes ($2.3 million), and motor vehicle taxes ($2.2 million). Non-tax revenue performance improved by $3.7 million (4.9 percent) to $79.9 million supported by the receipt of $14.8 million in Hurricane Dorian proceeds,” the Ministry of Finance noted.
Amidst improving economic performance and employment levels, reliance on COVID-19 support continues to decline with social assistance benefits receding by $41.9 million as compared to the elevated levels in the prior year.
The ministry continued: “Increased outlays during the quarter resulted from higher public debt interest payments ($10.5 million), pension and gratuity payments ($4.4 million), and spending on the compensation of employees ($11.4 million),” the Ministry noted, adding that capital spending contracted by $10.2 million to $54.2 million, representing 14.6 percent of the budget target.
For the first quarter, there was a narrowing of the fiscal deficit to $20.6 million, a $115.8 million decrease from the deficit of $136.4 million experienced in the year prior.
