Pradales and Chivite jointly defend their own tax system

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This defence of the Concert and the Agreement has been constant by both leaders since the controversy over the regional financing model began after the PSOE’s agreement with ERC to change Catalonia’s financing.

The Lehendakari, Imanol Pradales and the President of Navarra, María Chivite, have defended their tax systems, the Economic Agreement and the Agreement respectively; in a joint article they published in the Grupo Noticias newspapers.

In the text, both presidents pointed out that their own tax systems are supported by history, by the explicit inclusion in the constitution of regional rights and by the judicial decisions at all levels, including the Constitutional Court and the Court of Luxembourgof the European Union.

“The regimes of Consultation and agreement They are the continuation of the provincial historical tradition and today enjoy the highest legal, political and jurisprudential recognition in our system and despite everything they are periodically the object of criticism and partisan use,” they complained.

This defense of the Concert and the Agreement has been constant by both leaders since the beginning of World War II controversy over the regional financing model after the agreement between the PSOE and the ERC to change the financing of Catalonia.

In this sense, Pradales and Chivite believe that ‘the problem since 1980 and the approval of the Organic Law on the Financing of Autonomous Communities (LOFCA) lies in the fact that no formula has been found that allows adequate financing of all the autonomous communities. Communities, which, especially in the last twenty years, have become the providers of the most relevant public services from a spending perspective: health care, education or social services“.

According to him, financing systems can be created for the autonomous communities “multilateral or with a greater or lesser degree of bilateralitywhich in some of their features could imitate or resemble our specific model, but in the long term would not enjoy the security and stability that the institutional guarantee of the intangible core of formality confers on the Concert and Agreement regime.

They have insisted on the “one-sided risk“that the Concert and the Agreement entail, since Euskadi and Navarra must pay an amount to the State, derived from a percentage of the general State budgets, regardless of how it was collected, and they do not receive “extraordinary financing in times of economic crisis”.

They have assured that they are regimes supportive with the rest of the communities for their annual contribution to the Interterritorial Compensation Fund and the contribution to the financial burden of all the State’s public debts, ‘including those issued to finance the expenses of the autonomous communities of the common regime that have been included in the important funds for autonomous liquidity since 2008″.

Furthermore, they have emphasized that the quota and the contribution (what they pay to the state every year) are the highest 6.4 and 1.5%respectively, which represents a higher percentage than the population they represent.

Source: EITB

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