The tax reductions in communities governed, in their vast majority, by the Popular Party will cause a negative effect on the collection of 2,040.3 million in 2024. This is the conclusion of the Ministry of Finance after analyzing all the announcements made in 'electoral year by the different regional governments in relation to ceded fiscal figures. The Acting Executive reflected in the budget plan sent to Brussels a few days ago this decrease in income, a decrease that he catalogs as "negative effects" in terms of the configuration of public accounts.
In the section on "discretionary measures adopted by the autonomous communities", the document sent to the European Commission explains that the tax decisions already in force will have a negative effect of 513.8 million in revenue in 2023, excluding those related to to the crisis caused by the war in Ukraine. In other words, the reductions will quadruple in 2024 the decrease in income this year.
The main reduction in collection next year will take place in income tax, specifies the Ministry of Finance. Specifically, the reductions in the regional section of the Personal Income Tax will mean an overall reduction in income of 1,728.6 million in 2024. The loss of revenue estimated in this figure is 613.4 million for the current financial year. The reductions in personal income tax are applied by communities governed by the PP and also by Castilla-La Mancha, led by the PSOE.
The allowances and deductions that apply to inheritance and gift tax will also have a greater negative effect on next year's collection. The Treasury calculates that in 2024 a total of 297.4 million more will no longer be paid due to the decisions taken by some regional governments to increase this figure.
Finally, the total or partial reductions in wealth tax, subsidized in some autonomies governed by the PP, will mean an additional negative effect of 24.1 million next year on income. This loss of wealth collection is compensated (in part, since the collection is state-owned) by the entry into force of the solidarity tax on the great fortunes, which next week will have to pass an important trial by fire in the Court constitutional Specifically, the new tax will generate revenue in 2024, according to the Treasury's calculations, of 640 million in 2024, compared to 619 million this year.
The ministry estimated a "potential collection" for the tax on large fortunes of 1,500 million. However, the first liquidation reduced the figure by 60%. This was because a significant number of Madrid, Andalusian and Galician taxpayers included as a limit to pay the full share of the property tax without bonus. The bar was raised and incomes fell.
The decrease in regional revenues of a little more than 2,000 million due to reductions in these tax figures next year is compensated, also partially, by the implementation of the new tax on the deposit of waste in landfills, the incineration and co-incineration of waste In 2023 this figure will bring in income of 241.7 million.
It should be remembered that the central government provided in the budget plan for a relaxation of the deficit of the autonomous regions, with a rate of 0.1%.
