BERLIN (MNI) – German total tax revenue picked up further in March,
the Finance Ministry said in its monthly report released late Thursday.
Total tax revenue (excluding local taxes) in March was 7.2% higher
on the year, up from +6.9% in February. Results for 1Q showed a 6.1%
annual increase. For the full year, the government’s standing forecast
is for tax revenue growth of 3.2%.
Federal tax revenue in March grew by 1.1% on the year after +5.5%
in February. However, the result was distorted to the downside by higher
transfers to the European Union, the ministry pointed out. For 1Q, the
annual increase was 3.8%. For the full year, the government is expecting
a 0.8% increase.
Federal revenue — tax intake plus other income — was up 0.3% on
the year in 1Q, while expenditures fell 1.5%.
In the economic section of its report, the ministry said that
economic activity in 1Q “likely stabilised somewhat.” Leading indicators
signal that the economy will gather steam over the summer, it remarked.
–Berlin bureau: +49-30-22 62 05 80; email: twidder@marketnews.com
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