UPDATE 1-Argentina November tax revenue soars 39.5 percent

* State spending also growing at quick rates

* Economic growth, consumer spending help boost revenues
(Adds context, quote)

BUENOS AIRES, Dec 1 (BestGrowthStock) – Argentine tax revenue
surged 39.5 percent in November from the same month a year ago,
fueled by robust economic growth and consumer spending, the
government said on Wednesday.

November’s revenue of 36.41 billion pesos ($8.96 billion)
(ARTXRE=ECI: ) was slightly above market expectations for 35.30
billion pesos, according to the median outlook in a Reuters
poll. November 2009 tax-take totaled 26.09 billion pesos.

“The growth in tax revenue is due to the performance of
value-added taxes, employee contributions and income tax, which
accounted for 62 percent of the total,” Ricardo Echegaray, head
of the AFIP tax agency told a news conference.

Surging tax revenue is good news for President Cristina
Fernandez, allowing her to sustain hefty social spending less
than a year from the next presidential election.

Last week, she unveiled a one-off bonus for pensioners and
she announced on Wednesday that child benefit payments would be
extended to seasonal workers.

Brisk annual inflation, which private estimates put at
about 25 percent, are also bolstering tax income, especially
revenue from consumer tax revenues.

Export levies on grains are another key revenue earner.
Argentina is the world’s third-biggest soy exporter and the
harvest reached a record 52.7 million tonnes last season.

Soy exports are taxed at a rate of 35 percent, meaning
state coffers are getting a boost from increased exports as
well as higher global prices.
($1 = 4.0625 pesos)
(Reporting by Helen Popper; Editing by Andrew Hay)
([email protected]; +54 11 4318 0655; Reuters
Messaging: [email protected]))

UPDATE 1-Argentina November tax revenue soars 39.5 percent