A. M. 
In august 2024, El Salvador’s Ministry of Finance reported a decrease in tax revenues, with a drop of US$22.7 million compared to july. Tax collection totaled US$577.3 million in august, compared to US$600 million the previous month.
Value Added Tax (VAT), one of the main sources of revenue, experienced a slight decrease, from US$290.2 million in July to US$286.1 million in august. This drop in VAT collection is linked to lower economic activity in august.
Income Tax (ISR) showed a more notable reduction, dropping from US$223 million in july to US$205.2 million in august.
Selective Consumption Taxes, which include taxes on products such as alcoholic beverages, beer, cigarettes and soft drinks, among others, also saw a reduction. Revenues from these taxes fell from US$19.2 million in july to US$18.8 million in august. This decrease could be related to changes in the consumption of these products or variations in prices.
These data reflect a lower economic activity in august with respect to the previous month, and it is expected that for the current month this situation will improve in terms of tax movement in El Salvador.
