• Basque Country The PNV justifies its initial support for Sánchez's budget by managing to extend the quota agreed with Montoro

  • Basque Country Sánchez plans to increase the Basque Quota by 20% and enter 1,680 million with the norm agreed by PNV and Montoro

The Mixed Commission of the Economic Agreement has approved this Thursday the

new quota methodology

for the five-year period 2022-2026, which sets the provisional quota for the base year at 1,472 million euros, an amount very similar to that disbursed last year.

In addition, it has agreed to enter into

two new tax figures

, the Special Tax on Non-Reusable Plastic Containers and the Tax on the Deposit of Waste in Landfills, the Incineration and Co-incineration of Waste, as well as the adaptation of the Basque Economic Agreement to the changes introduced in the Tax on Fluorinated Greenhouse Gases.

As reported by the Basque representation at this meeting, which lasted less than an hour, both the modification of the Economic Agreement and the

approval of the new methodology of the Quota

must be processed in the Cortes Generales in the form of single-article laws.

On the Basque side, the Minister of Economy and Finance, Pedro Azpiazu;

the Minister of Public Governance and Self-Government, Olatz Garamendi;

the general deputies of Álava, Ramiro González;

Bizkaia, Unai Rementeria, and Gipuzkoa, Markel Olano;

and the Deputy Minister of Finance of the Basque Government, Itziar Agirre.

On behalf of the State Administration, the Minister of Finance and Public Function, María Jesús Montero;

the Secretaries of State for Finance, Jesús Gascón;

Budgets and Expenses, María José Gualda;

and Territorial Policy, Alfredo González;

and the General Secretary for Regional and Local Financing, Inés Olóndriz.

The provisional Quota for the base year is

very similar to the one that is currently being paid

from the Autonomous Community to the State for the powers not assumed by the Autonomous Community, and it does not include the assessment of active employment policies, which is implemented annually, as an assumed burden. as compensation for the liquid quota to be paid to the State.

The approved methodology maintains the imputation rate at 6.24%, a percentage established

four decades

ago based on the population and the weight of the Basque economy in the State as a whole.

On the other hand, the Commission has ratified the agreement signed by the General State Administration and the Autonomous Community of the Basque Country on September 28, 2022 regarding budgetary stability for the financial year 2023.

Regarding the

new tax figures

, in relation to the Special Tax on Non-Reusable Plastic Containers, for manufacturing cases, the Foral Treasuries will collect the tax when the establishments where the containers are manufactured are located in Basque territory.

In the case of intra-community acquisitions and the irregular introduction of taxable products, the connection point for collection

will be the taxpayer's tax domicile.

Regarding the Tax on the Deposit of Waste in Landfills, Incineration and Co-incineration of Waste, the Territory where the landfill or incineration or co-incineration facility where the waste is delivered has been agreed as the connection point for the levy tax object.

Likewise, the regional councils may establish

tax rates higher

than those established in the tax.

In the Tax on Fluorinated Greenhouse Gases, the manufacture,

import, intra-community acquisition or irregular possession of fluorinated gases that are part of the objective scope of the tax have been

taxed directly .

It has been established as a connection point in cases of manufacturing, as well as for sales, deliveries or consumption of gases made by authorized taxpayers such as storekeepers, the place where the establishment in which the activity is carried out is located.

In the case of

intra-community acquisitions

and in cases of irregular possession of the taxable products, the agreed connection point is the taxpayer's tax domicile.

This Mixed Commission of the Economic Agreement is held after

the PNV decided on October 21 not to submit an amendment to the entire

draft of the General State Budget after reaching an agreement with the Government to renew the five-year quota law in the same terms than those currently in force.

The Lehendakari, Iñigo Urkullu, described the agreement on the Quota as "very important" because it provides "financial certainty" for the next five years.

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