The government collected R$ 2,31 trillion in federal revenue in 2023.

By Luciano Nascimento, reporter for Agência Brasil - Total federal revenue collection closed last year at just over R$ 2,31 trillion, the Ministry of Finance reported on Tuesday (23). The value represents a decrease of 0,12% compared to 2022, discounting inflation measured by the Broad Consumer Price Index (IPCA). 

In December of last year, total revenue reached R$ 232,22 billion. This amount represents a real growth of 5,15% compared to December 2022, after adjusting for inflation (IPCA).

Regarding revenues administered by the Federal Revenue Service, the amount collected in December 2023 was R$ 225,1 billion, representing a real increase, measured by the IPCA (Brazilian Consumer Price Index), of 5,48%, while in the accumulated period from January to December 2023, the collection reached R$ 2,204 trillion, registering a real increase by the IPCA of 1,02%.

According to the Ministry, the revenue collection result was influenced by changes in tax legislation and by atypical payments, especially of Corporate Income Tax (IRPJ) and Social Contribution on Net Profit (CSLL), both in 2022 and 2023.

"Without considering non-recurring factors, there would be a real growth of 3,05% in revenue for the accumulated period and a real increase of 4,54% in revenue for the month of December," the ministry explained.

The ministry also reported that the main factors that, together, contributed to the 2023 result were the performance of the main macroeconomic indicators that influence tax collection, such as industrial production, wage bill, dollar value of imports, and sales of goods and services.

Also contributing to the result were the performance of Social Security Revenue collection, which recorded real growth of 5%, and the real growth of 21,60% in Withholding Income Tax (IRRF) collection, especially in the items securities and fixed income funds.

The highlights pointed out by the Federal Revenue Service in December were the Withholding Income Tax on Capital Gains, which showed a collection of R$ 25,2 billion, resulting in a real growth of 21,57%, due to nominal increases of 26,30% in the collection of Fixed Income investments by individuals and legal entities, and 1,44% in the collection of Fixed Income funds.

Also collected was R$ 3,9 billion resulting from the taxation of investment funds in the country and income earned by individuals residing in the country from financial investments, controlled entities and trusts abroad.

Revenue from PIS/Pasep and Cofins taxes totaled R$ 39,6 billion in December, representing a real growth of 12,15%. This performance is explained by the combination of a real increase of 4,30% in sales volume and a real decrease of 0,30% in service volume between November 2022 and November 2023.

In addition to changes in the taxation applied to diesel, gasoline, and alcohol; and a 3% increase in the amount of tax offsets.

Meanwhile, Social Security revenue reached R$ 79 billion, representing real growth of 2,92%.

"This result can be explained by the real increase of 9,08% in the wage bill. In addition, there was a 25% growth in tax offsets with Social Security Revenue debts due to Law 13.670/18," said the ministry.

The Withholding Income Tax (IRRF) on Income from Residents Abroad generated R$ 10,1 billion in revenue, representing a real growth of 8,67%.

From January to December of last year, the highlights were the Social Security Revenue, which totaled R$ 620,31 billion, with real growth of 5%. This performance is explained by the real growth of 7,90% in the wage bill. In addition, there was a 32% increase in tax offsets against Social Security Revenue debts.

Regarding the Withholding Income Tax on Capital Gains, there was a collection of R$ 123,6 billion, resulting in a real growth of 21,60%.

PIS/Pasep and Cofins together generated R$ 435,7 billion in revenue, representing real growth of 2,4%.

According to the Federal Revenue Service, this performance is explained by the combination of real increases of 3,54% in sales volume and 3,08% in service volume between December 2022 and November 2023, compared to the period between December 2021 and November 2022. The gradual return of taxation related to the fuel sector (gasoline, ethanol, and diesel) and the 12,5% ​​increase in the amount of tax offsets also contributed to the result.