Turkey’s tax revenue 20 percent lower than expectations in first 3 quarters

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A teller holds Turkish lira banknotes at a currency exchange office in Istanbul on August 13, 2018. Turkey's troubled lira tumbled on August 13 to fresh record lows against the euro and dollar, piling pressure on stock markets on fears the country's crisis could spill over into the world economy. / AFP PHOTO / Yasin AKGUL

The Turkish government’s fiscal performance fell 20 percent below what was anticipated in the 2019 yearly budget in the first three quarters, Deutsche Welle Turkish service reported on Monday.

Tax revenue was at TL 485 billion ($83 billion) by the end of September and was expected to reach TL 600 billion by yearend. The 2019 budget had anticipated tax revenue of TL 757 billion.

Last week the 2020 budget proposal was sent by the presidential office to parliament for approval.

Next year’s budget expects tax revenue to be at TL 785 billion, an increase in line with the anticipated growth rate for the economy.

Some fiscal items, however, point to sharper increases such as the special consumption tax and the tax on motor vehicles, which are both expected to grow by more than 20 percent over last year.

Speaking to DW, İstanbul Culture University economist Sinan Alçın said troubles in the economy had led to low fiscal performance in 2019.

“Taxes related to consumption represent as much as 75 percent of overall tax income, which plummeted due to the slump in the economy,” he told DW.

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1 COMMENT

  1. Erdogan will go in triumph of victory down to the drain , who made his people Turks hero-beggars who won the battle but lost their future.

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