UPDATE 1-Brazil tax revenue falls to lowest for June in 16 years

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By Jamie McGeever

BRASILIA, July 23 (Reuters) – Brazil’s federal tax take in June fell to a 16-year low for the month as the coronavirus crisis continued to bite, official figures showed on Thursday, although it rose from May, suggesting a trough may have been reached.

Central bank president Roberto Campos Neto had said earlier this month that recent tax collection data was among indicators suggesting the economy was rebounding more strongly than many, including the central bank, had expected.

Thursday’s data from the federal tax agency showed tax revenue in June totaled 86.3 billion reais ($16.7 billion), down 29.6% in real terms from a year earlier and the lowest take for the month since 2004.

It was also less than the 88.3 billion reais forecast in a Reuters poll of economists. For the first half of the year, Brazil’s total tax take was 666 billion reais, down 14.7% in real terms, the revenue service said.

But compared to the previous month, June’s tax revenue was up 11.5%, the data showed, the first month-on-month increase since January.

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