Approximately 8 thousand ‘rich’ will stop paying Wealth Tax Balearic IslandsAccording to data provided by the Socialist Group in Parliament, around a thousand more people will see a significant cut in their payments for this concept, thanks to the reform of this tax that Vox is pushing on the People’s Party Government. These estimates are obtained from data on the collection of this tax in 2022.
Vox demanded that the PP approve the 2024 regional budgets, a significant reform of Inheritance tax by increasing the minimum exemption payment from 700,000 euros to three million euros, excluding it from this calculation. Spokesperson of the Socialist Group on economic issues, Llorenç PouHe underlines that in 2022, a total of 7,183 taxpayers on the islands had to pay the tax in question because they had assets greater than 700,000 Euros and less than 2,036,739, and that the entire group of this group will be released as of 2025 (the year in which your declaration is mandatory). An obligation was imposed to pay any amount to the Balearic treasury.
There is a group of 1,098 taxpayers who declared assets between 2,036,739 and 3,427,479 euros in 2022. Given that only those who exceed the three million mark will have to pay with the Vox reform, tax experts predict that this group will pay Approximately two-thirds will be exempt from this taxso, about 725 people.
This means that approximately 8 thousand people, who own the largest assets on the islands thanks to this far-right group, will avoid paying a single euro for this tax.
Those who will have to continue paying tax represent around a third of taxpayers who declared assets worth between €2,036,739 and €3,427,479 in 2022; This could be around 360 people. There are a further 680 people whose declared assets exceed 3.4 million euros and who will also have to shield their taxes.
This means that around a thousand taxpayers on the islands, which belong to the large fortunes, will have to continue paying this tax, albeit at a significant reduction, thanks to the reform promoted by Vox and accepted in return for support by the PP. approval of regional budgets.
Alejandro del CamposDMS Legal lawyer recently predicted that those who will continue to pay Wealth Tax will find themselves with savings in 2025 ranging from 40,000 to 80,000 euros per year in most cases.
Llorenç Pou reminded that in Spain there are three progressive taxes such as Inheritance, Inheritance and Income, which are paid the most by those with the highest income, and the Marga Prohens Government reduced all three, either on its own initiative or at the request of Vox.
Two significant discounts
In case of income, this deduction is “cosmetic” and little significant, according to the PSIB-PSOE representative, but the reduction in the amounts payable by those with higher wealth in the first two is very noticeable and is defined as follows: “reactionary” Vox-imposed reform ““increasing inequalities”.
It should be noted that the socialists’ estimate is that so far only 10% of taxpayers, the largest wealth-owning group, are paying for their assets.
PSIB estimates that the changes to Inheritance tax will mean a reduction in the Autonomous Community’s income of more than €65 million per year.
Those who stopped paying inheritance
Socialists estimate there are around 8,000 ‘rich’ in the Balearic Islands who will not pay a single euro for their assets, thanks to Vox’s tax reform on the PP, in exchange for their support for the 2024 regional budgets. Those who have assets worth between 700,000 and 3 million euros.
Those who will pay less
Around a thousand Balearic taxpayers with properties exceeding three million euros will continue to pay tax, but in most cases with very significant reductions ranging from 40,000 to 80,000 euros per year.
Regional case cost
The Balearic Islands will lose more than 65 million euros due to the tax change, and the benefit will go to those with higher levels of wealth. This is why socialists describe this change as “reactionary”.