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Wednesday, Apr 02, 2025

PP to Propose Income Tax Adjustment Amid Rising Prices

PP to Propose Income Tax Adjustment Amid Rising Prices

Alberto Núñez Feijóo announces intention to deflate IRPF rates, aiming to challenge the government's fiscal policies.
The People's Party (PP) is set to propose a legislative initiative to deflate the income tax rate (IRPF) in response to rising prices, a move aimed at spotlighting the perceived isolation of the government led by President Pedro Sánchez.

This announcement was made by PP leader Alberto Núñez Feijóo during the closing remarks of the party's interparliamentary session held in Seville over the weekend, signifying a strategic pivot towards fiscal matters following recent discussions around the government's upcoming General State Budget.

Feijóo emphasized this new fiscal proposal amidst claims of record tax revenues attributed to the country's economic performance and the lingering effects of inflation.

He criticized the government's handling of public finances, stating, "If with record revenues the accounts do not balance, this government is ineffective." He expressed concerns over the government's spending priorities, asserting that the current administration fails to manage taxpayer money effectively.

The proposal to adjust the IRPF is not novel, as it has already been implemented by various regional governments under PP control, including that of Andalusia, led by Juanma Moreno, who hosted the interparliamentary event.

Feijóo claimed an estimated €10 billion increase in government revenues resulted from the failure to adjust the IRPF in line with inflation.

Using terms such as "champion of tax collection and the last place in public services," Feijóo leveled accusations at María Jesús Montero, the Minister of Finance, alleging excessive taxation on citizens.

He urged a re-evaluation of tax policies in the parliamentary chambers, insisting on the necessity for adjustments to better reflect economic realities.

Feijóo's address showcased a campaign-like vigor, reflecting the sustained electoral aspirations of the PP since he ascended to leadership three years ago amid internal party turmoil.

His rhetoric underscored his determination to secure governmental change, reiterating, "We will bring change to Spain," while framing the current government as one that does not serve the country's interests.

The interparliamentary session also highlighted the legislative challenges faced by the PP, noting that 17 of its proposed laws have been stalled in Congress due to opposition majorities, emphasizing a perceived power imbalance.

The party remains assertively positioned following its successful election results at various levels, yet seeks the ultimate prize of control in Moncloa, the seat of the national government.

Despite recent victories, PP leaders assert there is a looming governmental decay, with party members rallying around the theme of rejuvenation and future successes, particularly highlighting regional leadership in Andalusia as a model for national aspirations.

Moreno's remarks hinted at the implications of existing agreements between the Sánchez government and regional nationalist parties, with the Andalusian leader affirming the PP's commitment to equality among Spanish citizens.

The PP's ongoing efforts to redefine fiscal policy and government accountability represent a crucial element of its strategy as it seeks to resonate with voters amidst the challenges posed by economic fluctuations and public sentiment towards government spending.
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