• Fiscal Authority: AIReF asks Andalusia, the Community of Madrid and Aragon to defer their tax breaks or seek other income
  • Taxes.Hacienda wants to end the tax reduction of up to 5,000 million in the Community of Madrid

« We will continue to lower taxes. Our commitment is to comply with the three budgetary rules, but we believe it is compatible with continuing to lower taxes ». This is how the Community of Madrid responds to the Independent Authority of Fiscal Responsibility (AIReF) that yesterday asked this region, as well as Andalusia and Aragon, to "postpone the tax reduction measures" that they plan to carry out.

In the specific case of Madrid, the body led by José Luis Escrivá warns that «there is a forecast of higher than average spending growth, mainly 4% more in personnel, and also a tax reduction that undermines its financing capacity» . The AIReF notes deductions in the IRPF and bonuses in Successions and Donations that, although in some cases are already in force, will have an “ additional effect in 2020 ”, which is the year that the Fiscal Authority has analyzed in the reports on the fundamental lines of budgets of CCAA and local corporations that yesterday released.

In this context, the Fiscal Authority considers that the region that governs Isabel Díaz Ayuso presents a "high risk" of breaching the spending rule , and therefore asks her to delay the tax cuts or, failing that, "propose other actions that favor compliance with fiscal rules and the consolidation process ». That is, to raise other taxes or reduce spending in an amount proportional to the income that will cease to have for its tax reduction, measures that Madrid does not consider, at least for now, carry out.

On the other hand, sources of the popular Executive of Madrid emphasize that the AIReF does believe that the deficit and debt objectives will be met, and insist that they will continue with these commitments of tax rebates that have not only been indicated by the AIReF, but that they have also provoked criticism from the finance minister when considering them a form of dumping .

In fact, between Ayuso and María Jesús Montero there is a fiscal war that has already unleashed a series of accusations and reproaches crossed before the elections, and that will most likely be reproduced in the coming months and even years if, as everything indicates, the minister Acting is kept at the Treasury.

As for the other two communities mentioned, AIReF's request to Andalusia is also due to the “ high risk of non-compliance with the spending rule , which derives from the tax reduction measures”.

And for Aragon, the demand goes further as it is one of the regions that is at risk of not reaching the budget balance in 2020. Therefore, in addition to claiming the community governed by the socialist Javier Lambán that “postpone the implementation of the new tax reduction measures », invites you to« carry out an exhaustive study in which the possibilities of improvement in regional spending are identified »and,« based on the results of the previous study, design and plan concrete actions to continue the path of deficit reduction ».

This second part of the proposals is also made by the AIReF to the Valencian Community , another of the Autonomous Communities that presents a risk of non-compliance with the stability objective. Moreover, the Valencia region has a "very unlikely" probability of reaching equilibrium, as is also the case in Castilla-La Mancha, Extremadura and the Murcia Region .

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  • Madrid's community
  • Aragon
  • Andalusia
  • Maria Jesus Montero
  • Isabel Díaz Ayuso
  • Personal income tax

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