The councilors of the new PP and Vox government team in the Valencia City Council that was set up last Friday, have provisionally approved in today's plenary session the tax ordinances for 2024. The 17 popular and Voxist councilors have given their approval good to the proposal for next year's municipal taxation proposed by the Department of Finance. For their part, Compromís and PSPV have voted against.
The Councilor for the Treasury, María José Ferrer San Segundo, has indicated that the reductions will benefit more than 700,000 Valencians, 99% of citizens. Among the most important measures, the 20% reduction in the IBI and a 95% bonus in the Tax on the Increase in the Value of Urban Land (capital gains) stand out. In addition, the proposed Fiscal Ordinances for 2024 also include reductions of 8.5% in the vehicle tax and 50% in the sewer rate.
The meeting of the municipal corporation will be held this Tuesday in the plenary hall of the Palau dels Scala, headquarters of the Provincial Council of Valencia, given that the Municipal Chamber is in the middle of rehabilitation works, which will last for four months. .
The fiscal debate of the plenary session began with the provisional approval of the modification of the general tax ordinance to then move on to the debate and approval of the modifications of the ordinances that regulate the Real Estate Tax (IBI), Vehicle Tax of mechanical traction, Tax on the increase in the value of urban land (known as capital gains tax), and the rate for the provision of sewage service, collectors and pumping stations.
Councilor Ferrer San Segundo has assured that “the reduction in municipal taxes and fees for the next fiscal year 2024 will mean significant savings for families and small businesses in Valencia, with reductions of 20% of the IBI and bonuses of up to 95%. in municipal capital gains, for inheritances or transfers of inter vivos businesses or businesses".
María José Ferrer San Segundo has assured that, for the municipal government, it is “a satisfaction to fulfill the given word”, and has explained that “out of responsibility and loyalty to what was promised, we bring a broader tax reduction from this City Council”, which It contrasts, he denounced, with "the tax increase of the previous mandate, despite having suffered such a harsh crisis and the increase in the cost of products and services, energy, mortgages...".
The proposal has not had the support of opposition groups, who have criticized the municipal government's fiscal policy. The spokesperson for the Compromís group, Joan Ribó, recalled that Valencia “occupies fourth place in taxation of the seven largest cities in the State, after Murcia, Barcelona and Madrid. And it ranks 22nd out of the 52 provincial capitals, an average position.” For Ribó, “the real winners of this modification of the IBI are the multi-owners and the owners of properties with the highest cadastral value, while for the lowest groups - 63% of the total, who pay less than 350 euros -, the discount is translates into only 43 euros, and 38 for small merchants”, but it will mean reducing municipal income by 38 million euros.
For her part, the socialist spokesperson, Sandra Gómez, began by lamenting that “the price for approving this budget project was to put the extreme right in the municipal government,” and she assured that her group had its hand outstretched “just as It was seen in AUMSA, so as not to lose projects with European funding that benefit the majority of Valencians. And we would have done the same here.” Gómez has criticized the fact that single-parent families have been excluded from the bonus, or families that have a dependent person. “We would have supported the social reductions,” said Gómez, who concluded by stating that “this modification is a tax scam because it benefits those who have the most and harms those who have the least.”
