Federal collection reaches R$ 171.05 billion in March

The Union collected BRL 171.05 billion in taxes in March 2023, according to data released this Tuesday (25) by the Federal Revenue Service. In comparison with the same month last year, there was a real reduction of 0.42%, ie, discounting inflation, in values ​​corrected by the Extended National Consumer Price Index (IPCA).

In the accumulated result for the year, collection reached R$ 581.79 billion, representing an increase above inflation of 0.72%. The value is the highest in the series for the quarter since 1995. Data on March collection are available at site of the Federal Revenue.

As for revenue managed by the Federal Revenue, the amount collected in March was R$ 165.91 billion, representing a real decrease of 0.07%, while in the accumulated period of January and March, the collection reached R$ 553.88 billion, real increase of 1.21%.

The drop can be explained, mainly, by the reduction in payments of Corporate Income Tax (IRPJ) and Social Contribution on Net Income (CSLL), which is levied on companies’ profits. According to the Revenue, both are important indicators of economic activity, especially in the productive sector.

Exemptions granted in the Tax on Industrialized Products (IPI) and the Social Integration Program/Contribution for Social Security Financing (PIS/Cofins) also influenced the result.

corporate profit

Income from IRPJ and CSLL amounted to R$ 33.64 billion in March, with a real reduction of 5.87% over the same month of 2022. The result is explained by the real decrease of 23.79% in the collection of the monthly estimate of companies. In calculating by monthly estimate, the actual profit is calculated annually, and the company is obliged to pay the tax monthly, calculated on an estimated basis.

In the accumulated result for the year, IRPJ and CSLL added up to R$ 152.70 billion, with a real drop of 0.76%. This performance is explained by the real growth of 7.62% in the monthly estimate, 15.81% in the quarterly balance sheet and 6.35% in presumed profit, combined with the real decrease of 35.16% in the IRPJ adjustment statement and CSLL, related to triggering events that occurred in 2022.

“In addition, there were atypical payments of around R$ 5 billion, especially by companies linked to the exploration of commoditiesin the first quarter of this year, and R$ 15 billion, in the first quarter of 2022”, informed the Federal Revenue Service.

In the month of March, there was no collection of extraordinary income. On the other hand, there were tax exemptions. In March alone, the reduction of PIS/Cofins rates on fuel resulted in a reduction of R$ 3.75 billion. In the year, it reaches R$ 11.25 billion. Already the reduction of Tax rates on Industrialized Products (IPI) cost R$ 1.9 billion to Revenue last month and R$ 5.70 billion in January and March.

“Without considering the non-recurring factors above, there would be a real growth of 6.26% in the collection for the period and 5.24% in the collection for the month of March”, informed the agency.

Other highlights

Another highlight of the March collection was social security revenue, which reached R$ 47.06 billion, with a real increase of 6.03%, due to the real increase of 11.62% in the wage bill. In addition, there was a 41% increase in tax offsets with social security revenue debts due to Law 13,670/18, which prohibited the use of tax credits to offset debts of monthly IRPJ and CSLL estimates.

In the accumulated result for the year, the result of social security revenue reaches R$ 142.13 billion, a real increase of 6.99%. This item can be explained by the real increase of 12.07% in the payroll.

The PIS/Pasep and the Cofins presented, together, a collection of R$ 32.64 billion, representing a real decrease of 5.76%. This result is due to the reduction in relative collection, especially in the fuel sector (in view of the exemptions and changes in the calculation bases of these contributions) and the 10% increase in the amount of tax compensation.

The other revenues managed by the Federal Revenue showed revenues of R$ 3.67 billion, with a real increase of 37.60%. This result can be explained by the collection of the litigation reduction program, which totaled approximately RS 1.2 billion in the month.

The Withholding Income Tax (IRRF) – Labor Income recorded collection of R$ 16.71 billion in March, representing a real decrease of 0.55%. The result is due to the real increase in the collection of Income from Salaried Work (8.3%) and the real decreases in Retirement of the General System or Civil Servants (fall of 14.66%) and in Profit Sharing (drop of 26.51%).

Already in the accumulated of January and March, the value reaches R$ 52.27 billion, real increase of 8.17% in the IRRF – Employment Income.

Another highlight in the accumulated result for the year is the IRRF – Capital Income, which adds up to R$ 24.58 billion from January to March, an increase of 43.06%. The results can be explained by the rise in the Selic rate (basic interest rate in the economy), which influenced the collection of earnings from funds and fixed income securities. In March alone, the increase was 39.06% in this item, reaching R$ 6.79 billion.

macroeconomic indicators

It is customary for the Federal Revenue Service to also present the main macroeconomic indicators that help explain the collection performance, both in the month and in the accumulated result for the year. However, some data are not available due to the change in the methodology of the Brazilian Institute of Geography and Statistics (IBGE) in calculating and disclosing the results of the sale of goods and services and industrial production.

The information already available is on the wage bill, which maintained growth of 17.87% in February (generating factor for March collection) compared to the same month of 2022, and 18.47% in 12 months. The dollar value of imports fell by 0.10% compared to February last year and dropped by 1.36% in 12 months.