Vox has presented in the Parliament a Proposition Not of Law (PNL) with which it claims a shock plan to tackle inflation in the Balearic Islands, an initiative that the group justifies by the “economic and social emergency” that, in its opinion, the archipelago is going through. The text proposes a tax reform of state and regional scope to alleviate the loss of purchasing power of families and businesses.
The party argues that, while the Spanish GDP per capita is far from the European average, the situation in the Islands is “especially critical” because of the extra cost derived from the insularity. Vox argues that the Balearic Islands suffer one of the most expensive shopping baskets in the country, with increases that, according to its calculations, range between 5 and 15% compared to the national average.
The formation links this economic pressure to the “housing drama”. According to the PNL, purchase prices exceed 3,700 euros per square meter, while the rent is around 17 euros per square meter, figures that are considered “record” in Spain. In this context, Vox argues that the Government should take urgent measures.
Personal income tax reform and VAT reduction
Vox’s proposal includes a structural reduction of personal income tax, with a minimum exemption of 22,000 euros per year. For incomes up to 70,000 euros, it proposes a single rate of 15 percent and, for the higher bracket, a rate of 25 percent. The initiative also incorporates a bonus of four percentage points for each child.
Together with the IRPF reform, Vox demands that the central government maintain a 0% VAT for basic food products and a 4% rate for household supplies -light, gas and water- on a permanent basis.
Elimination of regional taxes
In the autonomous section, the group calls for the complete elimination of its own taxes, expressly citing the Tourist Stay Tax (ITS) and the sanitation tax. Vox considers that these taxes “penalize” residents and companies at a time of strong inflationary pressure.
The PNL also proposes 100% rebates on Social Security contributions for the self-employed who do not reach the Minimum Interprofessional Wage, as well as the recovery of the deduction for investment in primary residence.
