Court of Auditors
Image: Lusa

Court of Auditors finds incorrect accounting in 2022 budget

Portugal’s Court of Auditors has pointed out what it calls “incorrect accounting” of the extraordinary support measure for families, as well as the lack of reporting on a third of the year’s tax benefits in the 2022 General State Account. The Court’s opinion on the points to an undervaluation of revenue and expenditure due to the failure to include the budget execution of six entities, and the undue deduction of €754 million from tax revenue – of which €611 million was related to the improper accounting of the extraordinary support measure for families as an income tax refund. “It is recommended that the minister of finance review the budgeting and accounting of financial flows deducted from tax revenue in order to ensure that all amounts paid by taxpayers are included in the revenue of the respective tax, and that the amounts corresponding to their delivery and/ or payment to other entities are included in expenditure,” said the report.