Regional government commits to paying 3.3 million Euros to Azorean municipalities - Communication

Presidência do Governo Regional

This afternoon, the President of the Regional Government, José Manuel Bolieiro, signed a protocol with the Association of Municipalities of the Autonomous Region of the Azores, represented by its President, Alexandre Gaudêncio. It concerns the transfer of the amounts accrued in favour of the municipalities in the revenue from Value Added Tax (VAT) collected by the State in the sectors of activity linked to tourism, for the years 2020, 2021 and 2022.

"We have now settled an old debt, which others refused to pay and we have taken over, on the variable rate of personal income tax and now also on the revenue resulting from tourist VAT, which is now revenue for municipalities," recalled José Manuel Bolieiro.

He added that this restitution "can only be funded through the Regional Budget, not the State Budget," but also acknowledged the State's responsibility to fund municipalities.

The total amount of accrued funds to be transferred to regional municipalities is 3.3 million Euros.

He also pointed out the importance of local authorities remaining a partner in the development of the Azores and that the more financially and economically solid they are, the more they can contribute to the Region.

"As I believe that our local authorities, municipalities and parishes are development partners, we show solidarity," the President of the Government emphasised.

Alexandre Gaudêncio, President of AMRAA, congratulated and thanked the Regional Government, led by José Manuel Bolieiro, for its sensitivity, "thus meeting a demand from local authorities."