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NOTnext year there will be no upgrade to the IRS and the the total number in the public service is in the same. This is part of the results of the vote marathon in the specialty of the state budget for next year (OE2019), which took place Tuesday for the second consecutive day in Parliament.
But there were not only denials. The deputies of the Assembly of the Republic have given the green light to certain measures, including the inclusion of three new vaccines in the national vaccination plan – meningitis B, rotavirus and HPV for boys – as well as the controversial decline of VAT on bullfighting, one of the most discussed in recent days.
The DSP and the CDS-PP have modified their original proposals by adopting wording equal to that of the PCP. The three votes were voted on together, lowering the VAT rate to a minimum not only for bullfights, but also for show tickets. , dance, music, theater, cinema and circus, despite the votes against the PS and BE.
The enlargement of the price reduction of social passes where the end of the exemption Municipal Property Tax (IMT) for real estate investment funds also received carte blanche. Still in this area, mention should be made of the approval of the PS proposal on taxation of real estate surpluses.
IRS "does not see" the upgrade of the rungs
There is no news at the IRS level. It was a joint proposal submitted by the CDS and the PCP, but the PSD's abstention "lent a hand" to the PS and, therefore, the measure has not passed the test.
Therefore, the current chart of the IRS will remain next year and will not be updated according to inflation. What does it mean? This means that taxpayers whose incomes are close to the limit of each step can be penalized and that, with wage increases, they move on to the next step, with an aggravated taxation.
Will social spending be cheaper?
A budget support for the reduction of the price of social passes has been extended. Parliament approved an increase of 21 million euros to 104 million euros. The proposal for the Public Transport Tariff Reduction Support Program (PART) states that as of April 2019, 104 million euros will be allocated to the Environmental Fundinstead of the 83 million foreseen in the proposal OE2019.
Real estate news?
There are two new developments in the real estate sector: end of the IMT exemption for real estate investment funds and two proposals were approved on taxation of real estate surpluses.
In the first case, the deputies decided to approve the repeal of the decree-law creating tax incentives for the constitution of real estate investment trusts, proposed by the PCP, which was voted against abstentions CDS-PP and PSD. In the second case, both are used to prevent the value of government subsidies from leading to an assessment of the property that affects the value of the purchase of a property.
What about companies?
In this area, two measures have been adopted that have an impact on the activity sector: the tax increase on company cars and the intermediate step in the casting.
With the increase of the tax on passenger cars, the government planned to raise 40 million euros with the measure, but this measure was not approved and therefore implies the maintenance of the rates in force. On the other hand, the proposals of the PCP and BE aimed at creating an intermediate step in the state's commitment for companies whose profits are between 20 and 35 million euros. have been affected.
Filed the full account in the public service
The left has tried to bring the issue of full recount back to Parliament, but Monday's vote has been confirmed for the government to resumption of negotiations with teachers and other special bodies of the public service. Everything stayed the same, so.
The PS was again isolated and the PSD and the CDS-PP only voted their proposals force the executive to return to the bargaining table, rejecting calls from PCP, BE and ENP to approve more concrete standards, namely phasing, with periods of five to seven years for full counting of service time, frozen during the years of the troika.
Reform News
Monday, the first day of debate in the specialty of the document, two measures were approved that have an impact on retirees: end of the sustainability factorFor those who retire at age 60 with at least 40 years of reduction, and extraordinary increase in pensionsAlready in January.
It is recalled that the final vote of the document is scheduled for Thursday, November 28.
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