One day before the deadline for delivery of the contributions of the Autonomous Communities to the Council of Experts, under the umbrella of the Ministry of Finance – which will study the tax model for Spain – expires, the Community of Madrid has presented a document of 237 Pages endorsed by 30 experts from different fields who highlight the relationship between low taxes and business creation, investment attraction and GDP growth.
Aware of the importance that the weighting of the fiscal policy of the Community of Madrid had for the re-election of Isabel Díaz Ayuso during the campaign, the Minister of Finance, Javier Fernández Lasquetty , presented this Wednesday the document sent to the Ministry of Finance, with the conclusions of a work that defends fiscal autonomy and the reduction of taxes, thus concluding that, in this way, Madrid is the administration that contributes the most money to the fund with which the public services of other communities are financed.
This is the White Book on Tax Reform , with the legal arguments and the description of the regulatory capacity to defend the maintenance of transferred taxes and, with fiscal arguments and public policies that endorse that, the lower the taxes, the higher the collection. and higher rise in GDP.
The legend of the tax burden
The text defends that the proposal by the Government of Pedro Sánchez to increase the tax burden to resemble the rest of Europe, is still a reviled proposition among tax-holders, showing that the scale to be used is that of effort prosecutor .
For this, the White Paper uses an illustrative example, showing how the tax burden in Germany is 41.50%, and indeed, 35.20% in Spain. However, with these pressures, the per capita income of a German is 40,120 euros, while that of a Spaniard is 23,690 euros.
In other words, Germans have a significantly higher per capita income than that provided by Spaniards , a fact that “it is necessary to consider in order to properly measure and compare the true sacrifice that some and others have to comply with each one’s tax obligations. of their States “.
The document collects the conclusions of reports from the academic world, such as Salomón Aguado Manzanares (Distance University of Madrid), Luis Manuel Alonso González (University of Barcelona), Santiago Álvarez García (University of Oviedo), Mikel Buesa (Complutense University of Madrid) , César García Novoa (University of Santiago de Compostela), Juan José Rubio Guerrero (University of Castilla La Mancha), Francisco Cabrillo (Complutense University of Madrid), Jorge Sainz (Rey Juan Carlos University) and José Félix Sanz Sanz (Complutense University of Madrid).
It also includes the collaboration of experts from various business and economic institutes such as Lorenzo Bernaldo de Quirós (Freemarket Corporative Intelligence), Daniel Lacalle (Instituto de Empresa and Institute of Stock Market Studies) and Javier Santacruz (Institute of Stock Market Studies).
From the legal field, the State attorneys José Manuel Otero Novas and Macamen Tejera Gimeno or the legal and tax advisor Ignacio Ruiz-Jarabo have participated. Likewise, the study considers the contributions of various entities such as the Institute of Economic Studies (IEE) , the Madrid Family Business Association (ADEFAM), the Madrid Family Business Association (AMEF), the Self-Employed Workers Association (ATA), the Business Confederation Madrid-CEOE (CEIM), Círculo de Empresarios and Fundación Civismo and Institute of Economic Studies (IEE ).
In general terms, the contributions of both areas come to sustain that in Madrid there is no tax dumping, and in any case the Community of Madrid contributes 68% of the income to the financing fund – compared to 24% in Catalonia-, that the capital effect is not such, or that an aggressive fiscal policy can lead to a fiscal migration of the great taxpayers, and not precisely within the Spanish territory.
Overall negative effect
In statements to the press, Lasquetty said this morning that to harmonize taxes to Madrid – “by imposition of the socialist barons or the Table with the Catalan independentistas” -, Madrid would collect less, it would be less supportive, and in the end, it would not only harm to the Madrilenians , it would end up harming the rest of Spain .
Absence of experts in the Commission
Throughout its 237 pages, the White Paper substantiates another aspect, that of the absence of experts in the management of tax policies and in the application of tax systems . He argues that the presence of prosecutors from social organizations (business and trade unions) is also lacking and, neither does he understand – underlines the CM document – that no representative appointed by the Council of Finance participates in the Commission of Finance experts. Fiscal and Financial Policy and / or of the Spanish Federation of Municipalities and Provinces.