We measure the impact of the COVID-19 (coronavirus) crisis and the resulting lockdown on formal firms in Honduras, using monthly value-added tax records for January 2018 to August 2020. Firms' revenue fell by 26 percent, or 342.6 billion lempiras (USD 14.3 billion), in real terms between March and August 2020 and the same period in 2019. Sectors subject to stricter containment measures experienced larger revenue losses. The service sector was the most severely affected, experiencing a 45 percent revenue loss. Larger firms experienced smaller revenue losses than smaller firms, even when accounting for the sectoral composition of firm-size groups. A non-negligible number of firms remained shut down until the end of available data in August 2020.
Details
-
Author
-
Document Date
2021/01/01
-
Document Type
Brief
-
Report Number
156174
-
Volume No
1
-
Total Volume(s)
1
-
Country
-
Region
-
Disclosure Date
2021/01/27
-
Disclosure Status
Disclosed
-
Doc Name
The Impact of COVID-19 on Formal Firms in Honduras : Evidence from Monthly Tax Returns
-
Keywords
value-added tax; relative change; unbalanced panel; personal income tax; retail sale; vertical line; income tax credit; agricultural raw material; maintenance and repair; arts and entertainment; water supply sewerage; fall in demand; equipment and supply; corporate income tax; social security contribution; information and communication; Retail Sector; manufacturing sector; average sales; supply response; percent change; consumer spend; gaseous fuel; retail activity; Extractive Industry; health activities; mining industry; vehicle repair; industry group; Food Services; small manufacturing; other sectors; secondary sector; value chain; social distance; automotive fuel; administrative datum; household good; agricultural machinery; national state; live animal; national border; hardware stores; food delivery; mail order; available data; panel data; tax return; Stabilization policies; advance payment; salary expenses
- See More
Downloads
COMPLETE REPORT
Official version of document (may contain signatures, etc)
- Official PDF
- TXT*
- Total Downloads** :
- Download Stats
-
*The text version is uncorrected OCR text and is included solely to benefit users with slow connectivity.
Citation
Bachas,Pierre Jean Brockmeyer,Anne Semelet,Camille Marine
The Impact of COVID-19 on Formal Firms in Honduras : Evidence from Monthly Tax Returns (English). MTI Practice Note,no. 9L Washington, D.C. : World Bank Group. http://documents.worldbank.org/curated/en/326461611769500203/The-Impact-of-COVID-19-on-Formal-Firms-in-Honduras-Evidence-from-Monthly-Tax-Returns