In March 2025, the accumulated tax revenue of the State subsector amounted to 13,562.6 million euros, representing an increase of 1,502.7 million euros (+12.5%) compared to the same period in the previous year, according to a document from the Directorate-General for the Budget (DGO).
Direct taxes saw a rise of 287.6 million euros or 6.1%, driven by the increase in IRS revenue — Personal Income Tax (+4.8%) and IRC revenue — Corporate Income Tax (+22.7%).
Indirect taxes also experienced a rise, with an increase of 1,215.1 million euros (16.6%) compared to the previous year.
This progress was mainly due to the net revenue of VAT — Value Added Tax (+18.2%), justified by a decrease in refunds (-21.8%).
Additionally, there was a notable increase in the net revenue of ISP — Tax on Petroleum Products with a 13.6% rise.
With the effect of the extension of VAT payment, the revenue from this tax grew by 18.4% compared to the same period the previous year.
Considering this effect and excluding the payment of deferred taxes related to IRC in February 2024 (117 million euros), tax revenue showed a year-on-year increase of 11.6%.
Tax refunds during this period saw a decline of 19.5% or 571 million euros, mainly due to the decrease in VAT refunds.
“It is worth noting that even so, this did not result in a significant increase in the amount of outstanding refunds since these had been elevated in January and February 2024 as they included unpaid refunds at the end of 2023,” the document explained.
[Updated news at 3:30 PM]
