The rest of the energy taxes, which are now being reduced or abolished, will be gradually recovered. It will be the eighth package of measures to continue responding to the consequences of the war in Ukraine and the rise in prices.
The Council of Ministers will approve the partial extension of the ‘social shield’ this Wednesday combat the effects of inflationthe energy crisis and the war in Ukraine, and will maintain the measures related to the workplace, the impossibility of suspending basic services, the extension of discounts corresponding to the electric social bonus or the suspension of evictions, according to Sumar sources.
In addition, the coalition government parties PSOE and Sumar have concluded an agreement for the expansion of bonuses for public transport for the entire population and not only for minors, young people and the unemployed, as confirmed by sources from the training led by Yolanda Díaz.
The government will therefore continue to give the other governments a 30% discount on public transport, as long as they commit to increasing this discount to 50%.
One of the initiatives the country is preparing is also to leave the VAT on electricity at 10%, compared to the current 5% and the 21% it had before energy prices skyrocketed.
The new package that will be approved next Wednesday in the last council of ministers of the year will be the eighth promoted by the executive branch to continue responding to the consequences of the war in Ukraine and the rise in prices, a mobilization of resources that has so far amounted to approximately 47 billion euros.
In the labor field and in consultation with Sumar, this new anti-crisis decree will extend the measures related to the benefit of government support, which expired on December 31. This is how companies received them direct support or via ERTE and those who are made redundant due to causes such as higher energy costs will be obliged to repay the aid received.
So is the suspension of evictions and the launch of mainstream housing for vulnerable people and families, cuts to essential services will remain prohibited and the increase in electric social bonus discounts will also be extended.
In particular the social bonus It was extended to those regular consumers whose joint annual income from the cohabitation unit was equal to or less than twice the IPREM of 14 payments (16,800 euros) and greater than 1.5 times the IPREM of 14 payments (12,600 euros). Currently, the discount varies between 65% and 80%, depending on the vulnerability situation of the families.
This next package of measures will also include the suppression of the VAT from 4% that applies to all basic foodstuffs, including bread, flour, milk, cheese or eggs, and the reduction from 10% to 5% for oil and pasta, according to the president of the government, Pedro Sánchez.
Among the basic foodstuffs for which the 4% VAT is abolished, ordinary bread stands out, as well as frozen ordinary bread dough and frozen ordinary bread intended exclusively for the production of ordinary bread; flour for bread making; the following types of milk, produced by any animal species: natural, certified, pasteurized, concentrated, skimmed, sterilized, UHT, evaporated and powdered; the cheeses; eggs and fruits, vegetables, legumes, tubers and grains, which have the status of natural products in accordance with the Food Code.
Energy tax
After intensive negotiations, Sumar has assured that the bank tax will remain as it is, but there is currently no agreement on energy taxes.
Source: EITB
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