Revenues and Expenditures in Palestine for 2020

-        (Total increased) The total net actual revenues for 2020 increased by 3,530 million shekels, reaching 11,888 million shekels (eleven billion eight hundred eighty-eight million shekels), by 142%, compared to the revenues included in the 2020 budget (commitment basis), which were estimated at 8,358 million shekels (eight billion three hundred fifty-eight million shekels)..!.

-        Also (Total decreased) the total actual expenditures and net lending in 2020 decreased by 3,067 million shekels..! They reached 13,320 million shekels (thirteen billion three hundred twenty million shekels), representing 81%, compared to the expenditures and net lending included in the 2020 budget (commitment basis), which amounted to 16,387 million shekels (sixteen billion three hundred eighty-seven million shekels) !...

-        In light of that, actual revenues in 2020 increased by 3,530 million shekels. This increase in actual revenues compared to the figures estimated in the 2020 budget (commitment basis) resulted from an increase in actual domestic revenues (tax revenues constituting more than 61% of total actual domestic revenues in the same year, with the remainder being non-tax revenues from fees and licenses, etc.), by 2,270 million shekels (two billion two hundred seventy million shekels), in addition to an increase in actual clearance revenues in 2020 by 1,255 million shekels... compared to the figures estimated in the 2020 budget (commitment basis).!

-        As for the indirect increase in actual revenues for 2020 of 3,067 million shekels, it stems from a decrease in expenditures of 3,067 million shekels, compared to the estimated figures for these expenditures in the 2020 budget, resulting in an amount of approximately (6.6 billion shekels) increase in actual revenues and expenditures compared to the estimated budget figures for 2020 on a commitment basis...(revenue and expenditure data between actual and estimated for 2020).

-        I will follow up and analyze the actual spending areas where the decreases occurred compared to the estimates in the 2020 budget, in the second part of a later post !

-        While reading and analyzing Table No. 2 from the statistics of the Ministry of Finance and Planning in Ramallah, published on its website, the details of revenues, expenditures and financing sources (cash basis) for 2020 – from January to December – appeared as follows:

·       First: Revenues:

-        The total net actual revenues for 2020 amounted to 11,888 million shekels (eleven billion eight hundred eighty-eight million shekels).. Of these: domestic revenues: the total domestic revenues in 2020 amounted to 4,133 million shekels, coming from the domestic sources as follows:

1-    Actual local taxes, amounting to 2,523 million shekels in 2020, whose main sources were derived from types of local taxes as follows: income tax of 643 million shekels, value-added tax of 1,051 million shekels, customs of 517 million shekels, in addition to cigarette excise of 292 million shekels,

2-    Actual non-tax local revenues of 1,274 million shekels in 2020, which came from local non-tax fee revenues, such as health service fees of 91 million shekels, health insurance fees of 208 million shekels, transportation fees of 145 million shekels, Land Authority fees of 102 million shekels, professional license fees of 235 million shekels, and other such fees in 2020.

3-    Actual earmarked collection revenues in 2020, of 336 million shekels (consisting of property taxes and transportation and roads taxes, which are amounts assigned to local bodies) "90% of property tax, and 50% of the transportation and roads tax".

4-    Actual clearance revenues: amounting to 8,042 million shekels, with tax refund amounts of 287 million shekels deducted. These were distributed across the following types of taxes as shown in their commitment-basis figures (8,091 million shekels), which approximated the cash basis, and the composition of the taxes making up the clearance revenues was distributed as follows: customs of 3,827 million shekels, value-added tax of 1,837 million shekels, in addition to fuel tax of 2,364 million shekels, while income tax amounted to 76 million shekels...