The amount of IRS refunds paid up to the end of May corresponds to 862,4 million euros, which translates to a 60% decrease compared to the tax that had been returned until the same month of 2019.
According to data from the May Budget Execution Summary, released this Friday by the Directorate-General for Budget (DGO), the amount of IRS refunds paid up to the end of that month compares with the 2.161,5 million returned in the period year-on-year, reflecting a drop of 1.299,1 million euros.
Even so, the processing of refunds accelerated in May compared to the rate of return observed in April - a month that coincides with the beginning of the submission of the annual declaration of the IRS.
The difference in annual and monthly values is referred to by DGO, which notes that “the acceleration of repayments compared to the previous month by more than 700 million euros still does not cancel the difference compared to the same period (minus around 1.300 million euros)”.
The amount of refunds registered a new boost in June, with the latest data from the Ministry of Finance indicating that, up to the beginning of this week, 1.824.641 IRS refunds in the amount of 1.869 million euros had been processed (ie paid).
On the same occasion, the Tax and Customs Authority (AT) had 3.878.128 annual tax declarations already settled, of which 2.141.120 declarations were entitled to reimbursement, in the amount of 2.254 million euros.
In 2019, the total amount of IRS refunds amounted to 3.003,1 million euros, according to the information available in the budget execution summary of the Directorate-General for Budget. In 2018, the amount returned to taxpayers had been 2.626,4 million euros.
The IRS's annual declaration on income earned in 2019 began to be delivered on April 01 and ends on June 30, with the State until August 31 as the limit to proceed with the payment of the refunds of the people who submitted the declaration on time .
According to AT's 2019 Activities Report, the average IRS repayment period was, on average, 16,9 days in 2019, in the case of those paid by bank transfer. This average term compares with the 23 and 17 days recorded in 2017 and 2018, respectively.
According to AT data, 5.271.811 IRS declarations have been delivered so far, with approximately 500 thousand declarations remaining, taking into account the number registered in 2019.