• Courts The Constitutional Court annuls the municipal capital gains tax

The Constitutional Court

has overturned the reduction in the Personal Income Tax (IRPF)

that Catalonia applied to low incomes, thus estimating the appeal that the central government presented when considering that the Generalitat exceeded its autonomic powers.

The Government applied, through the budget support law, two measures: on the one hand, that "the minimum taxpayer is, in general, 5,550 euros per year"; and on the other,

an increase of 10% of the exempt minimum for low incomes

. "If the sum of the general taxable bases and the taxpayer's savings is equal to or less than 12,450 euros, the minimum for the taxpayer is 6,105 euros per year," he pointed out specifically. And that is the part that the Government appealed when considering that it created a new category of personal income tax, and the reason why the Constitutional Court has overthrown it, as

ElNacional.cat

announced yesterday

.

At the time of the approval of the tax reduction, the Minister of Finance, María Jesús Montero, already pointed out that the communities "

cannot create new categories

", which is what would happen with the sum of the general base and savings. This argument has been accepted by the TC, which in the sentence advanced by the aforementioned media indicates that the Government "has exceeded the limits established by the State for the autonomous exercise of this ceded competence."

The Constitutional Court, however, clarifies that its decision will not affect the accrued returns, that is, that

taxpayers who have already benefited from its measure will not have to reimburse the amounts saved

. The TC makes this decision to guarantee "legal certainty", and according to the calculations of the Government of the reduction, more than 200,000 taxpayers could benefit.

The Court's decision is relevant because of the decision itself, but also because Catalonia is one of the regions with the most aggressive taxation with its taxpayers.

According to the latest edition of

the Fiscal Liberation Day

study

produced annually by the Civismo Foundation, Catalans are the ones who have to work the most days to pay all the taxes they have to face: 201 days.

And according to the estimates of the General Council of Economists,

the Catalan region already has 19 taxes of its own

, four of them unconstitutional and some as imaginative as the tax on the environmental risk of the production, handling and transport, custody and emission of radiotoxic elements

According to the criteria of The Trust Project

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