Because of the increased number of first-time rate payers, collection rates could deteriorate, causing a further increase in costs.
Banco Azteca has a 90% collection rate overall, and it has been growing 42% a year since starting in 2002.
"The collection rate was on the low side of what has been achieved for other authorities which was 70 - 80% in some cases, " he said.
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It's a staggering collection rate, but storage technologies have advanced so far that it would still take him years to fill up a typical desktop computer's hard drive.
If the credit card company could, for instance, recover 30% of the outstanding sums owing from a thousand debtors, that would significantly improve their overall collection rate, which we now know hovers somewhere near the bathtub drain of 20%.
"At the root of the euro upheaval is a balance of payment crisis caused by the cumulative effects of a 13-year-old one-size-fits-all monetary policy and a fixed exchange rate for a collection of disparate countries in very different stages of economic and structural development, " he argues.
At the climax of his passion, he was adding to the collection at the rate of a painting a week, ending up with 1, 500 works.
There is a limit beyond which a higher tax rate will result in less tax collection.
The ensuing face-off with police was rooted in a sense of anger that the government were imposing swinging cutbacks on the public sector as pay and benefits were reduced, job vacancies went unfilled and a tougher tax collection and higher tax rate system was introduced.
And the most notable thing about the introduction of that system there, down from the almost impenetrable Soviet tax system, is that revenue collection went up when this low rate and simple system came in.
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So, we cannot, at present, with the numbers we have, tell whether the surge in tax collection was because the 50 p rate increased the amount peoplepaid: or whether we saw a one time only surge as people paid themselves tonnes of cash to beat the rate.
The market was expecting a slightly higher money market rate going into the month end on fiscal tax collection.
This distribution, combined with efficient collection systems has resulted in a non-performing loan rate of 5.5% as of Sept. 30, which is actually an improvement over the 12.3 % from the year prior and well below the consumer finance banking average in Mexico.
The rate of tax paid by each household is also used to calculate waste water and refuse collection charges.
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Your collection agency should represent your organization in a responsible and professional manner, and provide a satisfactory rate of recovery while maintaining your public image.
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