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Posted On 18 Jun 2019
Ecuadornews:
The private area paid $ 2,483 million for Income Tax (IR) in 2018. Trade is the one with the highest contribution; but banks improve their pace.
In 2018, the State enjoyed a high tax contribution from the private sector. Of the $ 5,319 million that the country received in Income Tax (IR), $ 2,483 million came from taxpayers who normally move in the business sector, 15.1% more compared to the previous year. Banks and insurance, manufacturing and commerce, were the sectors that more increases reflected.
This is shown by the Internal Revenue Service (SRI) which, consulted by this newspaper, released the details of the figures for this tax, the one with the greatest weight within the total collection. With a 27.9% share, commerce was the sector that paid the most tribute with $ 695 million, but it was not necessarily the one that grew the most (21.6%). The throne, in that sense, is taken by banks and insurance, after allocating $ 302 million in this tax to the treasury, 50% more compared to the previous year.
The contribution made by the 24 banks of the country, explains Julio José Prado, president of the Association of Banks of Ecuador, responds to the good utility that the sector reached, as a result of a greater credit placement. Last year, he said, the sector closed with $ 530 million in profits, almost 40% if compared to 2017.
Of the $ 302 million of taxes in this sector, $ 29.9 million came from the 30 insurers in the country, due to a 4% growth in sales. Having achieved this growth in a difficult year for the economy, says Patricio Salas, secretary of the Insurance Federation, is a great contribution, because it means “to inject greater dynamism to a large number of sectors, companies and families that are related to the activity insurance carrier”.
Although 2018 was an atypical year, due to the payment incentives that were originated by the tax remission and that led the State to receive $ 15,000 million in taxes, the tax entity clarifies that the higher IR collection responds only to the greater economic dynamics that there was in these sectors, since the benefit only applied to the tax pending until April of last year.
If observed by companies, the companies that most paid Income Tax (IR) last year, was Cervecería Nacional, (with $ 63.4 million). In the list, it is followed by Conecel (Claro), with $ 60.7 million; Banco Pichincha, with $ 53.7 million; Corporación Favorita, $ 49 and Schlumberger del Ecuador S.A., with $ 37.1 million.
By segments
The most weighty
With almost 28% of participation, the commerce continues being the sector that more Income Tax pays. This sector canceled $ 695 million, 21.6% more than in 2017. It is followed by the manufacturing industry and the financial sector.
The one that falls the most
The slow recovery of the construction sector also took its toll on the State, as it received 26% less IR payment from this niche market. Other sectors that also reported falls were mines, agriculture and professional activities.
The one that pays the most
With $ 63.4 million, Cervecería Nacional became the company that pays the most IR in the country. The list is followed by other firms such as Conecel, Banco Pichincha, Favorita and Schlumberger. Together they contributed $ 206 million last year. (I)
