Entrepreneurs oppose tying wages to inflation as it would destroy businesses and jobs
Entrepreneurs denounce that the fiscal pressure on the productive fabric will reach 11% in 2023, higher than the pre-pandemic level of 2019 (10.3%) and one point above the average of European Union (EU) countries. The Institute of Economic Studies (IEE), part of the CEOE, warns that this “aggressive” increase in the corporate tax burden (corporate tax plus premiums) will mean a loss of competitiveness.
Of the measures announced by the government for 2023 in its Budget Plan, companies will bear the bulk of the tax increase, they say. Specifically, three quarters of the total, EUR 4,235 million, will go to companies, which they consider a “big mistake” at a time of economic slowdown in which companies’ costs for raw materials are rising, the rise in energy and labor costs .
Íñigo Fernández de Mesa, president of the IEE, pointed out during the presentation of the report that this sanctioning the activities of companies will be detrimental to the generation of wealth and employment, in addition to the loss of competitiveness in an increasingly globalized world.
Source: La Verdad
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