May 23th 2024 | 3:17

Bizkaia

Bizkaia has a puncture in collection in Q1 2024

Mairenis Gomez

April 16, 2024 | 1:22 p.m.

A complicated start to the year in Bizkaia's collection

Bizkaia's economy and its reflection in tax collection in the first quarter of 2024 offer a valuable perspective on the region's fiscal dynamics. During the first three months of this year, the Bizkaia estates experienced a slight drop in income, contrasting with the growth observed in the rest of the Basque provinces. This phenomenon, despite being moderate, arouses interest in tax policies and underlying economic conditions that could be influencing these results.

The behavior of tax revenues in the Basque context

In the broad setting of Basque estates, Bizkaia shows a peculiar panorama. Although total collection in the Basque Country amounted to 3.989,6 million euros, with a general growth of 3,3%, Bizkaia did not follow the same trend. The province, which is one of the most industrial and populated, registered a decrease of 0,2% in its collection, receiving 2.519,8 million euros, which represents a reduction of 6,3 million compared to the same period of the year. last year. However, this figure does not include certain extraordinary operations that, if excluded, would reflect a 3% increase in collection.

The importance of direct taxes and their impact in March, where A significant increase of 70,4 million euros was observed compared to the same month last year, highlights the monthly variability that can characterize tax revenues. Specifically, Personal Income Tax (IRPF) and Corporate Tax showed notable increases, which may indicate a recovery or temporary improvement in economic activity.

A comparison between provinces reveals significant differences

In contrast to Bizkaia, Gipuzkoa and Araba showed robust growth in their collections. Gipuzkoa, in particular, stood out with an increase of 12,2%, earning 1.039,2 million euros thanks to higher withholdings on work income and an increase in VAT collection. This type of data shows how different economic policies and industrial structures can influence the farms of each province in a diverse way.

In addition, Araba also saw healthy growth of 5,6%, raising €430,6 million. Both direct and indirect taxes in Araba reflected good performance in the labor market, with increases in personal income tax and solid VAT collection.

A complicated start to the year in Bizkaia's collection

Opportunities and challenges in tax collection in Bizkaia

Without a doubt, the slight decrease in Bizkaia contrasts with the increases in other provinces, but it also offers an opportunity to reflect on the factors that may be affecting these results. Variations in the collection of the special tax on hydrocarbons, affected by the evolution of the sector, and the drop in VAT at 6,1% are indicative of sectoral challenges that may be limiting collection potential.

With the recovery seen in March, it seems that Bizkaia could be on the verge of a more consistent recovery, as long as favorable conditions remain and no new economic complications arise. This analysis suggests that, although the province faces challenges, there is a clear path to stabilizing and improving its fiscal situation.

More news

Basque cooperatives ask for tax discounts

Jeickson Sulbaran

May 23, 2024 | 12:30 p.m.

Konfekoop holds its General Assembly and highlights the need for a fiscal framework that supports the development of the social economy The General Assembly of…