Puerto Rico Treasury: General Fund net income for July, Aug. exceed projections by $177M
Net income that flowed into the Commonwealth’s General Fund for July and August reached $801.1 million and $675 million, respectively, for a total of about $1.5 billion, which exceeded collections projections by $176.9 million, Puerto Rico Treasury Secretary Francisco Parés said.
Income tax collections for individuals and corporations exceeded the projection by $51.2 million or 19% and $45.1 million or 29%, respectively, in July and August, he said.
Sales and Use Tax (IVU, in Spanish) collections exceeded the projection by $27.1 million or 12%. While motor vehicle taxes were $32.5 million over what was accrued in July and August 2020 and $40.3 million over what was projected for the current year, he said.
“During the months of July and August, the first two of Fiscal 2022, we managed to exceed the collection projections. The Treasury Department continues to focus on ensuring that projections are met, through efforts to guide taxpayers and audit initiatives. This way, the government will be able to guarantee the continuity of services,” he said.
Net income to the General Fund for the month of July totaled $801.1 million, exceeding the projection of $704.3 million, by $96.8 million or 14%. In August 2021, net income to the General Fund totaled $675 million. Those collections increased by $43.8 million or 7%, compared to August 2020 and exceeded projections by $80.1 million or 13%.
“The $96.8 million increase in collections for the month of July is mainly attributed to corporate taxes. The collection in this category was $131.3 million, which represented $26.5 million over the projection. Another item that stands out was individual tax payments, which reached $159.5 million, or $24.1 million more compared to the projection,” said Parés.
As for retentions made to non-residents, the government collected $41.2 million in July, about $18.6 million or 82% over projections. In the motor vehicles tax category, July collections reached $52.3 million, which represented an additional $15.1 million. The increase was attributed to a jump in sales in response to the influx in federal incentives.
For the month of August, individual income taxes registered an increase of $30.5 million or 24%, compared to the same month last year and of $27.2 million more than the projection.