The full house on Monday approved the proposal by the municipal government to reduce the tax burden of taxes and fees included on ordinances in 2016. The proposal made by the Government concerning municipal taxes next year is a reduction in the tax burden as well as a strong support to the productive economy, with allowances for entrepreneurs and small businesses, provided by the same City Council.
The 2016 municipal ordinances include a tax cut, a fact that will be noticed by residents and local businesses directly in their pockets. The Property Tax and the Household and Industrial Waste collection fee include significant cuts. In the case of property tax, the City Council will reduce the current rate from 0.83% to 0.779% for private individuals and from 0.841% to 0.789% for the hospitality industry. The reduction is designed to be a support to the economies of families and companies and at the same time, offset the increased tax base of this tax established by the State Government during the last cadastral revision.
Meanwhile, ordinances include a 10% reduction in all types of collection, treatment and disposal of waste. In the case of commercial buildings, this reduction can even reach 50%, depending on the characteristics and type.
The proposed prices and tariffs in 2016 also pay special attention and relevant support to entrepreneurs, small businesses, cooperatives and employment. The project includes concrete steps in this chapter, with the aim of promoting the economy and boost employment. Measures include a reduction of 50% in the rate of economic and business activities for those under 35 and reduction of the same rate up to 40% in case of hiring permanent workers. The package also includes reductions in rates for the creation of cooperatives, which can obtain reductions up to 100%.
These actions have a political message very clearly defined by the Municipal Government: reduction of tax burden, offsetting insofar as possible the tax burden of the State Government, promote economic revitalization and stimulate employment.
These actions have been possible thanks to the financial and economic management in recent years, first by the councilor Jordi Mas and currently by Pep Moline. If four years ago we had not implemented the necessary corrective actions, especially a policy of debt reduction and control of expenses, right now we would not be able to make the current proposals to reduce tax burden and support the economic activity.
