What tax reform do the experts propose?

The Tax reform it is not closed yet. But the experts that he Treasury appointed to make proposals finalize the document you want to present within a month. “Nothing has been concluded. Not even a document with the proposals being debated,” said sources close to the group of scholars. In any case, this Thursday a meeting of the members of this committee is planned to try to put together the various proposals that have been worked on, with the “complicated” goal that it can be translated into a draft to be sent to the Ministry , according to the same sources ..

The proposals largely revolve around the incorporation of the technology in the tax system for avoid the flight of resources that take place with digital transactions, cryptocurrencies, ‘family offices’ and other instruments that erode tax bases. This is essentially a basic principle, which has led to the minimum corporate tax for multinational companies agreed by more than 130 countries.

According to people close to the committee, “this is the only way to prevent the way of increasing the collection or those who already pay do it more “. The basic thing, they add, is” to capture some of the resources that escape through these channels and the assets that grow without going through the Treasury box Spain has almost eight points less GDP than the eurozone average between 2011 and 2020, with public spending down four points in the same period.

The green or environmental tax (Spain earns 1.77% of GDP in this way, below the eurozone average of 2.35%), the digital transactions or cryptocurrencies such as bit They are part of the concerns of this group of wise men who are proposing initiatives to expand the tax base on which taxes can be collected or which are at least reducing the possibilities of circumventing the treasury coffers.

two dropouts

The differing views of the specialists led to the abandonment by two of its components, the Professors of Public Finance Ignatius Zubiri Y Charles Monastery. In April last year, the Minister of Finance, Maria Jesus Montero, submitted the commission of 17 experts to prepare a white paper for the Tax reform. Presided over by Jesús Ruiz-Huerta (creator of the fiscal balances with the socialist president José Luis Rodríguez Zapatero) and with Alain Cuenca (general director of the Institute for Fiscal Studies) as secretary, this group then had professors and experts such as e.g. Fran Adame, Antonia Agulló, Olga Cantó, Laura de Pablos, Santiago Díaz de Sarralde, Xavier Labandeira, Santiago Lago, Guillem López Casasnovas, Julio López Laborda; David López Rodríguez, Carlos Monasterio, Saturnina Moreno, Violeta Ruiz Almendral, Maria Teresa Soler and Marta Villar. The committee had 18 members, with the subsequent accession of Ignacio Zubiri, Professor of Public Finance at the University of the Basque Country. And now, after his departure and that of Monastero, professor of public finance at the University of Oviedo, he is 16.

more difficult consensus

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In any case, according to sources close to this committee, the significant problems lie in the different points of view between the tax lawyers and economists, an excess of members in the commission who, despite the assumption in principle a larger plurality, prevents the consensus, and the need for good coordination, with a left hand to manage contradictions and conflicts.

In any case, the idea is not to draw up some recipe that the Government must comply with. “If the Executive Board expects to be told whether to increase or decrease one tax or another, it will be defrauded,” sources close to the committee assured. In fact, what is being worked on gives different options. The Government, which has as one of its objectives harmonize taxes ceded to autonomy, as estate, inheritance or donations, om a competence like the one that currently exists with the lead role Madrid’s community, plans to launch the tax reform in 2023, as in the recovery plan sent to Brussels. Some of the experts have suggested that the ceded and own tax communities and compensate them for it, which would mean lowering them regulatory capacity.


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