Montoro's dismissal tax punishes Spaniards who have paid

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The minister now recognizes that the proposed measure penalizes people over 50 years of age who have contributed 85% of personal income tax collection to the State. Rebellion in the PP against the tax on dismissal compensation Calls from the Montoro think tank to experts to 'sell' the tax reform Barons of the PP accuse Montoro of having parked the reform of regional financing out of “fear of Catalonia” Mariano Rajoy and Cristóbal Montoro. Mariano Rajoy and Cristóbal Montoro. The Treasury is going to reverse one of the aspects of the tax reform that has caused the most controversy: the taxation of severance pay. It has been realized that it represented a punishment for former workers who had contributed to supporting the Welfare State, and therefore, it was difficult to justify to society. As El Confidencial Digital has learned from sources familiar with the contacts, the Minister of Finance has shown himself “understanding” in the conversations he has had these days with employers and unions on this matter.

But, specifically, the fact that the majority of those affected by this tax are workers fired from their companies over 50 years old has largely caused this reversal. Two main reasons are given: 1) This group is the one that has supported the Welfare State (Education, pensions, unemployment benefits...) for approximately the last 30 years. 2) They have contributed close to 85% of the personal income tax collection in all those years. that is more beneficial Middle East Mobile Number List the older you are According to the sources consulted, this is one of the reasons that explain the reasoning now carried out by the Secretary of State for Finance, Miguel Ferre , on this issue. He commented, after the meeting with employers and unions, that the Government has in mind to make a weighting so that people with a greater number of years worked have a greater exemption. “Computing euros per year worked will mean that older people will have a greater amount of compensation that will be exempt .



Thus, he pointed out that “the element of age is going to be very important because older people are going to have more beneficial . Authentic rebellion in the PP against the tax As reported in ECD days after announcing the reform, leaders and middle cadres of the PP addressed Cristóbal Montoro to tell him that this taxation for dismissal had to be softened , which has sparked enormous criticism since it was announced. They asked the Minister of Finance, after a tense meeting of the parliamentary group, that it was necessary to introduce a greater graduation in the of these incomes and correct its retroactive application. Although they already warned that the measure was not going to be completely withdrawn, but " it will be intensely modulated as has happened with abortion . They explained at that time that they would also have to have the opinion of businessmen and unions before its final approval, as finally happened this Monday with the meeting at Hacienda de Montoro with the social agents.