It is increasingly common to see historic stores in city centers converted into fast food establishments or small supermarkets where they profit, above all, from low-cost tourism with the sale of alcohol and ice. “It's the market, friend”, as Rodrigo Rato would say.
However, administrations can take certain measures to preserve these businesses, which are more than just companies and have great symbolic and cultural value.
This is the case of the Valencia City Council, which will modify the tax ordinances to incorporate a 95% discount on the Real Estate Tax (IBI) to all businesses in the city with more than 100 years of activity.
From the consistory they sent a statement in which they argue that it is a tax incentive that seeks to protect establishments that "provide an identity of their own to the city of Valencia".
This measure is added to the exemption of 95% of the IBI that the 45 establishments included in the Guide of emblematic businesses of the city of Valencia could already request and that includes those that are more than 50 years old (for the moment, they have requested it 13 of them).
The Councilor for the Treasury, Borja Sanjuán, explained yesterday that the measure, which has been worked on and agreed with the Association of Merchants of the Historic Center of Valencia, "will help preserve the commercial identity of Valencia against the advance of more impersonal commercial areas and globalized that is taking place in the big cities”.
Sanjuán stressed the importance of this type of tax benefits to help the most unique businesses in the city to keep their doors open. "The objective is that these places that are emblematic in our city continue to be points of reference in our neighborhoods and that they continue to contribute singularity to the city's surroundings," he defended.
This modification of the tax ordinances to include the tax exemption for businesses with more than 100 years of continuous activity will affect, for the time being, a dozen establishments throughout the city.
"It is very important that as a city we combine economic development with maintaining an identity that makes us attractive and that makes this one of the best cities in the world to live in," said Sanjuán.
Likewise, the Town Planning Department included in the Ciutat Vella Special Protection Plan a series of requirements to guarantee the maintenance of the craft and emblematic shops in the heart of the city.
The document prohibits the installation of convenience stores and affects the promotion of original activities related to the building in question or linked to the trade of ceramic products, textiles, embroidery, trimmings, premises or businesses dedicated to the sale of elements associated with culture in general, books, photographs, antique furniture and objects, works of art, jewelers, silversmiths, design workshops or artisans and the like.
On the other hand, modifications were also introduced in the fiscal ordinances to discount both the IBI and the Tax on Economic Activities (IAE) to the venues in the city that carry out performing arts and live music activities.
Now most of these unique spaces in the city can also opt for a 60% discount on the IBI if they have been in business for a minimum of 30 years and/or if part of their programming is in Valencian.
Likewise, a bonus was incorporated into the IAE for all establishments that develop permanent shows and performing arts in Valencia. With this modification, all theaters will be eligible for a 60% reduction in the receipt of this tax.
