The extraordinary tax on banks, whose validity expired on December 31, will be maintained for the next three years, but that on energy companies will end up declining, after pressure from companies in the sector and the lack of parliamentary support, according to the amendments. presented by the PSOE in Congress to the bill to set a global minimum rate of 15% for multinational companies.
The PSOE has agreed that the PNV will support the maintenance of the banking tax, and that it can be managed by the Basque and Navarrese provincial treasuries. The PNV has pointed out that the amendments agreed with the socialists will allow taxes on banks and multinationals to be applied through the regional tax regimes of the Basque Country and Navarra, in compliance with the Economic Agreement Law. Likewise, the Basques have agreed on regulatory measures to “stop VAT fraud on hydrocarbons.”
According to the PNV, “the energy tax will decline due to factors external to the jeltzale formation, which has shown its willingness to convert this tax into a tax and agree on it.”
Junts had warned that it would not support the permanence of this tax if it harmed the investments planned by Repsol in Tarragona, of around 1,100 million. Parliamentary sources leave the door open to finally reaching a political agreement with the Catalan independentists, and that it can be introduced as a transactional amendment in the coming weeks.
Opposing the decision to let the tax on energy companies die are the minority partner of the Executive, Sumar, and parliamentary allies such as Bildu, Esquerra Republicana (ERC), who have introduced amendments to make the tax permanent as it is now conceived. Specifically, Sumar wants to transform temporary taxes on banking and energy companies into permanent taxes, since it already manages to collect 2.9 billion euros per year in two sectors “that have extraordinary benefits.”
Tax on interest and commissions until 2028
The amendments registered this Wednesday by the socialists in Congress transform the extraordinary tax on banks into a tax on the interests and commissions of financial entities that will be in force for the next three years, until 2028.
Specifically, the new tax will tax the interest and commission margin obtained by credit institutions and the Spanish branches of foreign credit institutions, in the activities they carry out in Spain. Likewise, the tax rate will be progressive, from 1% to 6% depending on the taxable base.
It will also allow the deduction of 25% of the Company fee. In addition, an extraordinary deduction is established in the event that they suffer a sustained decline in profitability.
The tax will take effect for tax periods beginning on January 1, 2024 and will be paid in 2025. It will be applicable for three consecutive years starting in 2024.
In its amendment, the PSOE justifies the maintenance of a tax initially proposed as a temporary tax in which banks have continued to increase their profits, but establishes a limited validity of three years due to the possibility that future situations endanger financial stability.
Tax on vapers
The PSOE amendments also introduce a tax on vapers. The amendment establishes that liquid for electronic cigarettes containing less than 15 milligrams of nicotine per milliliter of product will pay 0.15 euros per milliliter and 0.20 euros if the amount of nicotine is greater. Nicotine bags and other nicotine products will pay 0.10 euros per gram.
The PSOE also proposes increasing the taxation of savings for high incomes, so that the section of this type of income that exceeds 300,000 euros will pay a personal income tax of 29%, one point more than now (0.5 points on the state scale and 0.5 points from the regional level).
Likewise, it proposes to neutralize the tax collection impact of the annulment by the Constitutional Court of the corporate tax reforms of the PP, for which it proposes to limit the compensation of negative tax bases of large companies and deductions for double taxation, as well as to reverse impairments.
Likewise, the rule that only allows half of the tax bases of companies to be offset by the groups of which they are part is extended for two years (2024 and 2025).
Another amendment establishes that the Government will promote the modification of the VAT directive to allow States to tax short-term rentals in areas where these accommodations make access to housing difficult or imply tourist saturation.
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