Puerto Rico’s General Fund net revenue was reported as a total of $906 million for the month of February 2022. Compared to February 2021, this was a $191 million increase, or 26.8%. Compared to the central government’s fiscal plan projections, this was 20% higher.
General Fund net revenue for the fiscal year from July 2021 to February 2022 is at $6.751 billion. Compared to the fiscal year to date in 2021, this is a $426 million increase, or 6.3%. Compared to the fiscal plan’s projections, this is also 6.3% higher. While revenue from tariffs is down slightly compared to the previous fiscal year, tax revenue has gone from $698 million in 2021 to $851 million in 2022, a 22% increase.
Act 154 revenue reached a total of $137 million. Compared to February 2021, this was a 5% increase. Compared to the fiscal plan’s projections, this was $44 million lower, or a 24.3% decrease. Act 154 revenue for the fiscal year to date stands at $870 million. Compared to 2021, this is $62 million lower, or 6.7%. It is also lower than the fiscal plan’s projections by 1.3%.
Sales tax revenue in February was $230 million. Compared to February 2021, this was a 1.3% increase, while compared to the fiscal plan’s projections this was 11.6% higher. Retail sales have remained above pre-pandemic levels, contributing to this increase. Sales tax revenue for the fiscal year to date has reached $1.621 billion. Compared to 2021, this is 10.8% higher, while compared to the fiscal plan’s projections this is 6.3% higher.
A recovery in employment, elevated retail sales, and strong performance from local manufacturing and construction have all contributed to general fund net revenue being higher than projected. Declining consumer sentiment in the month of March due to inflation and uncertainty surging from Russia’s invasion of Ukraine could lead to decreased consumer spending and government revenue.