The  Income and Expenditure Primary Evaluation Report  for the third quarter 2016 (May and June) brings to conclusion the confirmation of tax risks related to the frustration of revenue and increased compulsory expenditure in the period. These risks had been considered when setting the primary balance target of R $ 170.5 billion to the central government, which confirms its realism and reaffirms the basis for strict compliance. 

Tax risks relate to the frustration in net transfers of R $ 7.9 billion and an increase in the estimate of compulsory expenditure of R $ 8.6 billion, totaling R $ 16.5 billion. 

The R $ 7.9 billion managed revenue frustration took place in the middle of re-estimation of taxes linked to economic activity. Other factors, non-recurring, accounted for R $ 3.8 billion reduction. In particular, there was the period the return by the central government of judicial deposit in the amount of R $ 1.6 billion, this payment is deducted from net income, but does not affect the future revenue performance.

On the expenditure side, the R $ 8.6 billion growth occurred in the mandatory, especially two: the re-estimation of expenditure in social security R $ 4.5 billion in the year and the financial support of R $ 2 9 billion from the federal government to ensure the safety of the Olympic games in Rio de Janeiro, the latter non-recurring expense. 

The goal of primary surplus (deficit of up to R $ 170.5 billion) in 2016 will therefore be fulfilled.