![[Img #75328]](https://thelatestnews.world/wp-content/uploads/2025/03/Alexander-von-Humboldt-the-visionary-who-connected-science-and-nature-150x150.jpg)
In the midst of a fiscal battle, the coalition has negotiated in the last few hours the fiscal package that will accompany the General State Budgets. After the last meeting, the Minister of Finance, María Jesús Montero, has assumed that there is an agreement regarding taxes, but United We Can not yet consider it closed and warns that four conditions must be met , including a rise in income tax to the highest brackets and a reduction in the lowest part.
Fiscal competition between communities complicates the PSOE’s discourse and the negotiation of the Budgets
Know more
Upon his arrival at Congress, the journalists asked Montero if there is already an agreement on budget matters. “Not yet, but on tax issues, yes”, has been the response of the head of the Treasury, who has referred to a press conference at 11:30 a.m. in which she intends to give the details. The initial intention of the Government was to announce the fiscal proposal when the entire budget package was closed.
However, the second vice-president, Yolanda Díaz, said shortly after that there is no agreement on taxation and has put four conditions on the majority shareholder which, according to what she has said, have not yet been accepted: taxing the highest income from of 200,000 euros and increase the deduction in the lowest brackets, that is, “go up to the highest incomes to go down to those who most need it”; act on corporate tax; tax on large fortunes and tax harmonization to avoid competition between communities; and the reduction of VAT on feminine hygiene products and food for celiac people.
“If today we reach an agreement on these four issues, we would be in a position to close the part of public income; but today, right now, I just called on the phone, there is no agreement”, Díaz has sentenced. However, the leader of Podemos and Minister of Social Rights, Ione Belarra, assured on Wednesday in Hora 25 (Cadena SER) that “the debate on lower income tax for low incomes was not on the table until a few hours ago, from that the announcement was made by the president of the Generalitat Valenciana”.
The negotiation accelerated in recent days, coinciding with the announcement by the Generalitat Valenciana of making a general reduction in personal income tax for income below 60,000 euros. The Government distanced itself from that position and was very harsh with Ximo Puig, who has complicated the speech that the Executive had made until then.
In recent hours, the socialist wing of the Executive has slipped that the coalition’s tax proposal will raise the tax burden “of those who have the most” and has pointed to relief for medium and low incomes that it has not specified. What is clear is that the tax reform will include a new tax on large fortunes.
