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The outstanding debts are growing

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The outstanding debts are growing

Every year instead of decreasing the age of tax debts grows and in 2020 increased by seven months compared to previous years. The official data, according to the strategic plan of the Ministry of Finance 2022-2024, estimate in 70 months (over 5.8 years) the average time that a tax debt remains pending, direct and indirect taxation, regardless of the collection actions and debt collection levels.

In 2019 and 2018 the age (pending) of tax debts was 63 months. Another interesting element is the management of tax compliance. It is the additional income tax imposed on taxpayers (natural and legal persons) by conducting thorough audits. It is the percentage of the additional tax from tax audits as a percentage of the total income tax imposed by the Department. In 2020 it fell to 1.1%, from 2.6% in 2019, while in 2018 it was 0.9%.

In the data recorded there is also the score in terms of the international cooperation index. The performance index is defined as the percentage of questions answered in a timely manner during the current year, in relation to the total number of questions received. In 2020 it was 73%, in 2019 at 75% and in 2018 at 78%.

There is also a positive element. The percentage of electronic payments increases every year. The course of the rate of payment of tax debts electronically through JCC, banking institutions (VAT) and internet banking (VAT and settlement of overdue tax debts), in terms of total receipts of the Department, was 71.9% in 2020 from 68.9% in 2019 and 65.9% in 2018.

Regarding the provision of quality services to the taxpayer, the data show that there is enough satisfaction. The taxpayers 'satisfaction index was in 2020 at 3.4, with a maximum of 5, and in 2018 at 3.3 with a maximum of 5. The ministry notes that the average of the taxpayers' degree of satisfaction is taken into account for the calculation of the index. from a total of 6 services it enjoys and specifically from the TAXISnet system, the public service in the offices of the Department, the website of the Department, the services of the Department provided through the governmental internet security gateway ARIADNI, the tax portal (from 2020) and the phone service. The index is calculated as the average of the service ratings on a scale of 1 (not at all satisfied) to 5 (very satisfied).

The Ministry of Finance in the strategic planning report notes that “the Tax Department regularly participates in assessments whose main concern is to establish transparency procedures, international cooperation as well as maintaining the required procedures and compliance practices. The results remain positive with small margins for improvement, of which the Department is taken seriously with the aim of improving its position each time “.

Statistical Service

In relation to the satisfaction of users of statistical data from those provided by the Statistical Service, the performance for 2019 was 80.9%, in 2018 at 70.6% and in 2017 at 73.7%. The degree of compliance (%) with European statistical requirements was 93% for 2020, 94.2% for 2019 and 95.8% for 2018. European statistics account for about 90% of all statistics produced and disseminated by the Statistical Service. The transmission of European statistics to the EU (Eurostat) is done through the eDAMIS platform (electronic Data files Administration and Management Information System), which acts as the only entry point for the submission of statistical data to Eurostat.

Philenews

Source: 24h.com.cy

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