Congress will resume tax reform tomorrow, with the PSOE looking for formulas to overcome crossed vetoes

Congress will today, Monday, reactivate the Finance Committee responsible for debating the bill for one new tax on multinational companieswith the PSOE looking for formulas to overcome its partners’ crossed vetoes against its tax reform. If he fails, he can only approve the European tax, for which he has received an offer of support from the PP. A committee that has already had to do that postpone twice last week due to the intention of PSOE, Sumar and the investiture bloc to address a broad package of fiscal measures in the project, but from different points of view. And the Socialists have negotiated from several sides the changes to this project, which was originally only intended to establish a minimum tax of 15% for multinational companies, a transposition of a European directive.

First agreements with PNV and Junts

The first agreements that the PSOE concluded before the presentation and committee meetings began were with PNV and Junts. He agreed with the PNV, among other things, to reform the bank tax and make it permanent. This did not go down well with the left-wing partners nor with Sumar, a PSOE ally in the executive branch, who argued that the sustainability of the tax would remain. of the bank tax on energy was a red line during the negotiation.

To approve the presentation’s report, the Socialists chose to include only four technical amendments, leaving the decision on the most controversial taxes to the committee. The formula was convincing and the text was approved by a majority, but always with the partners in hand.

PSOE agreement with Sumar

The PSOE’s idea was to meet the committee the following Monday, but the partners held out and the Socialist Group had no choice but to suspend the meeting because they did not receive enough support. Naturally, the government vetoed seventeen amendments from different groups, such as the reduction in VAT for hairdressers, to prevent them from going further in violation of their criteria.

In return, he announced an agreement with Sumar to tax luxury items such as private jets or yachts, increase taxes on SOCIMIs or increase taxes on private healthcare.

Extend the tax by legislative decree

This was the scenario on Thursday, the day the new commission was established and the PP seemed to offer a safe passage to the PSOE: pass the law, but only adhere to the global minimum tax that Brussels demands and put an end to the fraud of the VAT imposed on hydrocarbons, but without including more taxes, neither banks, nor energy, nor vaping, nor tobacco, nor diesel.

Parliamentary sources note that one formula being put on the table is to extend, through a legislative decree, the tax on energy companies that currently applies for another semester.