12 days after the Government takes the draft of the General State Budgets for 2022 to the Council of Ministers, United We can once again tighten the rope by raising the price of its support for Pedro Sánchez , this time with tax increases that a priorithey have been rejected by the socialist wing of the Executive.
But the purple ones are convinced that this rejection does not mean anything, since, just a few days ago, they have managed to get the Council of Ministers to lower the electricity bill somewhat and, since September, to raise the minimum interprofessional wage (SMI) by 15 euros per month. Now, Unidos Podemos has other requirements: among them, a fixed rate of 15% in the Corporation tax for large companies, increasing the personal income tax on high incomes, a ‘pink rate’ for intimate hygiene products with a Super-reduced VAT and improves the minimum vital income.
This week, the Vice President of the Government, Yolanda Díaz, was blunt in stating that the negotiation of the next Public Accounts is generating distance and enormous differences between the coalition partners , and specifically due to fiscal matters, with no reform yet to the view.
The purples do not want to back down. They look strong since their last victory, and they remain in their thirteen, despite recently it has been possible to listen to the economic vice president, Nadia Calviño , and the Minister of Finance, María Jesús Montero, that now is not the time to impose new tax measures, without first waiting for an economic recovery, which for the moment will be accompanied by fiscal stimulus .
It is precisely this argument that the purple ones refute, since they understand that in a crisis like this, caused by a pandemic, it is large companies and not SMEs, who have to contribute more to the economic recovery.
Aware that there is little time left for the draft to reach the Council of Ministers in a timely manner -that is, next Tuesday, or the following (October 1), at the latest-, the pressure strategy of United We Can is evident .
Yolanda Díaz has been explicit and presses with two imponderable relative: establishing a fixed rate of 15% in the Corporation tax of large companies and raising personal income tax on large incomes (two points for incomes over 130,000 euros, and four to those over 300,000 euros).
In addition to these tax increases, Unidas Podemos also raises the improvement of the minimum vital income, a ‘pink rate’ to reduce the VAT of intimate hygiene products and, make the control of the rental price a reality within the Law of Housing that remains stagnant since March.
When recovery comes
Meanwhile, the socialist wing maintains its speech. Those of Sánchez maintain that now it is not time to raise taxes, and that in any case we must wait for a major tax reform to take place, which is still pending the conclusions of the expert committee, which at the earliest will not be completed before the month of February 2022.
This Thursday, Irene Montero , Minister of Equality, highlighted in the Ser her confidence in obtaining each one of these proposals, and in addition to doing so in the legally established time, that is, at the end of September. He recalled in this regard that thanks to pressure from United We Can, the regulation of the price of certain energies and the increase in the SMI have gone ahead . It should be remembered that this last point has been made without social dialogue, bilaterally between Yolanda Díaz and the unions, and without the agreement of the business employers.
Meanwhile, this Wednesday, Nadia Calviño asked to remove the Housing Law from the negotiation of Budgets, noting that what now proceeds is the management of European funds as a great opportunity for the economy of Spain.
European funds, embedded in the Public Accounts
European funds are precisely one of the cardinal points of the Budgets, since the receipt of the funds are directly embedded in the Public Accounts, so that support for these Budgets is a priority, hence the importance of receiving the support of the United Nations. Podemos and ERC, as main partners of the legislature.
The Ombudsman with Podemos
The acting Ombudsman, Francisco Fernández Marugán, has urged this Thursday in Parliament to adopt measures to improve access to employment and housing for young people and has insisted on the need to address a tax reform that increases tax collection at large corporations.
Fernández Marugán considers that “the pertinent thing” would be to rationalize the taxation of large corporate entities to avoid that small companies and traditional sectors bear the highest tax incidence.
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