ATHENS: Greece budget deficit widened slightly to €503 million in the January-March period this year, from €448 million in the corresponding period in 2014, but it was significantly lower compared to a budget target for a deficit of €2.11 billion.
The Greek budget recorded a primary surplus of €1.732 billion in the first quarter of the year, from a primary surplus of 1.541 billion last year and a budget target for a primary surplus of €119 million. State budget net revenue totaled €12.020 billion in the three-month period, up 0.8% from target, while regular budget net revenue totaled €10.571 billion, down 5.3% from target. Tax revenue totaled €9.314 billion in the January-March period, down 7.4% from target.
This development is attributed to an 11.7% shortfall in direct tax revenue to €3.901 billion, reflecting a 9.3% decline in income tax, a 37.2% fall in direct taxes, a 4.1% fall in indirect taxes, while VAT on oil products fell 13.3%, VAT on tobacco surpassed target by 44.3% and a special consumption tax on energy products surpassed target by 3.0%. Other non-tax revenues surpassed target by 45.9% in the three-month period. Tax returns totaled €796 million, up 135 million from target. Public Investment Program revenue totaled €1.449 billion, up 679 million from target.
