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Krasimir Valchev: Historically, the lowest collection of excise taxes was during the time of Asen Vassilev

GERB will not support the proposed measures

Nov 5, 2024 10:16 134

The Ministry of Finance will propose an increase in taxes and insurances and a wage freeze, in of teachers, university professors, police and military to fit the budget into a 3% deficit. This is what he commented on "Facebook" Krasimir Valchev.

Why is this necessary?

I believe Asen Vassilev that there are no problems with the budget. And to Venko Sabrutev, I believe that the state treasury has been left in a brilliant condition. The fight against corruption and smuggling during the past 3 years and the first 3 months of this year, when Asen Vassilev was the finance minister, has overflowed the budget and ensured revenues for years to come.

Beyond ironic tone:

GERB will not support the proposed measures.

If there is no crisis, what imposes such crisis measures? However, the economy and GDP are growing, not shrinking.

We did not hear from the finance minister to clearly say if there is a problem with the budget, how big it is and what it is due to. From her public appearances, we are left with the impression that the problem is minor or that she is reluctant to speak.

Historically, the lowest excise tax collection since budget statistics have been published is in the first three months of 2022 and 2024 (I am comparing only the first quarters of the years). These are the months during which Asen Vasilev and Boyko Rashkov manage the customs.

Tax and insurance revenues in the last 3 years fell to 28.5% of GDP compared to 31% on average in the previous 10 years (2012-2021). The tax reliefs voted by the National Assembly are worth nearly BGN 1 billion or 0.5% of GDP. I deduct them and calculate that, other things being equal, the state collects 2% of GDP or BGN 4 billion less per year. And they promised us 10 billion more.