VAT receipts from imports rise in first half

Customs administration collects $763 million
in VAT, $762 million in customs fees

Customs revenues totaled $762 million in the first six months of 2012, up by 2.5 percent from the same period last year. The average customs rate collected on imports was around 7.3 percent at end-June.

Receipts from value-added tax (VAT) on imports amounted to $763 million, up eight percent year-on-year. VAT receipts from imports recorded a monthly average of $127 million so far this year, the highest average since 2007.

The rise in customs receipts year-on-year does not correspond to the growth in imports over the covered period. An 18 percent growth in imports over the first half of the year was driven by a 100 percent rise in oil imports by the government. Imports by the public sector are generally not subject to customs fees.

The bulk of customs receipts, 83 percent, were collected through the Port of Beirut. Beirut Rafic Hariri International Airport accounted for eight percent of customs receipts, the Masnaa border crossing and the Port of Tripoli accounted for 3.8 percent and 3.6 percent respectively.

Imports from the US accounted for 14 percent of total imports, followed by Italy and China at eight percent each, France at seven percent, and Germany at five percent. The top five countries combined accounted for fifty percent of imports.

Customs revenues totaled $1.5 billion in 2011, 21 percent below their 2010 level. Receipts from value-added tax totaled $1.5 billion last year, unchanged from 2010.

Reported by Hanadi Chami