Following the passage of legislation that would give Catalan separatists amnesty for their efforts in 2017 to push for independence from Spain, Catalan is considering legislation that would make it the sole collector of taxes in the region. The region would still pay “taxes” to Madrid, but through the governing authority, not through direct taxation by Spain of its citizens.
Excerpt from www.catalannews.com
… The “singular financing” model would give the Catalan government “the key to the safe,” amounting to around €52 billion per year, the Minister of Economy and Finance, Natàlia Mas Chalk, said in a press conference on Tuesday.
The proposal includes plans for financial contributions to the Spanish state and to a new territorial rebalancing fund.
The model is based on “full fiscal sovereignty” and would imply that the government manages and collects taxes including VAT, personal income tax, corporate tax and special taxes, going from managing 9% of tax to 100%.
The government would receive approximately double the €25.6 billion it received in 2021 under the current model.
“We are presenting a paradigm shift to leave behind decades of injustice,” Mas Guix said.
The proposal, which the government says is fully constitutional, foresees Catalonia transferring funds to Spain for services provided, such as Defense or administration of justice, and payment to a “territorial rebalancing” fund for Autonomous Communities with fewer resources.
… “It is a fair, reasonable and essential proposal,” the minister said, preferring not to quantify the amount that would be transferred, in order not to hinder negotiations that she said must be “honest and rigorous.”
2 thoughts on “Catalan Pushes for “Full Fiscal Sovereignty””