Transcript What is analysed in Chapter 3?

Secretaria de Macroavaliação Governamental –
Semag
2ª Diretoria
TCU Audit of the Year-end Government Report
Chapter
3 - Revenue
Apresentação à OCDE
Brasília, novembro de 2011
What is analysed in Chapter 3?
 Analisys on Revenue Collection
 Tax burden evolution and comparison with other countries
 Revenue Forecast and actual collection
 Fulfilment on fiscal goals regarding revenues, so as to achieve the
primary surplus
 Performance of the main tributary and and non-tributary revenues
 Performance of fine collection
 Checking whether the revenues have been correct classified,
because it interferes in subnational transferences, among other
implications
What is analysed in Chapter 3?
 Revenue Collection and Tax Expenditure as
percentage of GDP
30.00
23.59
23.76
23.76
22.80
23.18
25.00
20.00
Arrecadação
Federal
Renúncia
15.00
10.00
5.00
2.80
2.96
2.88
2.81
2.88
0.00
2006
2007
2008
2009
2010
What is analysed in Chapter 3?
 Analisys on Tax Expenditure
 Evolution on tax expenditure and soft credits, by governmental
function
 Distribution of tax expenditure and soft credits, by region, so as to
reduce regional inequalities.
 Tax expenditure and soft credits per capita and as a percentage of
GDP
 The adoption of compensation measures, in order to preserve fiscal
equilibrium
 Give visibility to the objectives, goals and results achieved by Public
Policies that use tax expenditure
.
What is analysed in Chapter 3?

Analisys on the Recovering of Tributary Credits
 Evolution of the stock
 Behaviour of the revenue income due to agreements set with the IRS,
and the active debt
 Default on payments due to agreements set with the IRS, and the
active debt
 Percentage of the flux income in relation to its stock
What information is provided in the year-end
government report?
 Required Information to Analyse the Presidential Report
Revenue Collection and Credit Recuperation





Reports on Federal, State and Municipal Revenue Collection
Union`s Balance Sheets and report on Collection
Economic Indicators: GDP, Interest Rate, Exchange Rate, others
Populational indicators: population distribution, GDP per capita
Reports on Revenue Flow and Stock due to Tributary Credits and
Agreements with IRS
Tax Expenditure
 Report on Tax Expenditure
 Report on Soft Credit – Economic Policy Secretariat from Finance Ministry
 Presidential Year-End Accounts Report
What is the result and impact of Chapter
3?
 The analysis of revenue collection and tax expenditure allow
TCU to:
 Identify indicator of management macrprocesses
 Tax burden, perentage of revenue collection due to agreements, active debt e
fines, volume of tax expenditure
 To know the behaviour of performance indicators and management
results
 Low percentage (3.7%) of fine collection;
 Recommendations towards a better fiscal management process
 Increase in communication among TCU, General Attorney Office, National
Treasure Attorney, and Finance Ministry, in order to improve the system of
collection fiscal credits
What are the challenges in producing
Chapter 3?
 Challanges:
 Revenue Collection
 Ensure the collection of necessary revenues for achieving the surplus
 Assess that the revenues are enough to achieve the goals of Public Policies
 Oversight the systemic and operational acting of tributary administration
 Tax Expenditure
 Verify if tax expenditure achieved the objectives traced by Public Policies
 Garantee that the revenues expent in tax expenditures do not compromise
the surplus
 Assess impact due to tax expenditure