The Treasury will transfer 55% of personal income tax and 56.5% of VAT to the autonomous communities
This Friday, the Ministry of Finance revealed the details of the new regional financing model that it will present next Wednesday to the autonomous communities at an extraordinary meeting of the Fiscal and Financial Policy Council (CPFF). The new model expands the resources that the territories will be able to use in several ways. The State increases the percentage of transfer of personal income tax from the current 50% to 55% and also increases the VAT transfer from 50 to 56.5%. Only through this means will the autonomies receive 16,000 million euros more in 2027, the year in which the Government intends for the new distribution system to come into force, which will have to have the approval of the Congress of Deputies.
As an example, given that in 2024 (last fiscal year closed) the personal income tax collected 129,408 million and the VAT, 90,541 million, that highest percentage would have contributed an additional 12,355 million in that year of financing to the regions: 6,470 million personal income tax and 5,885 million VAT.
Collection in real time
The proposal that Montero will present this Friday will also give the autonomous communities the possibility of renounce the current system of deliveries on account (for which they receive a series of advances based on collection forecasts and the deviations are settled two years later) to start collecting in real time, just like the State.
This would allow the regions to obtain all the resources that correspond to them in real time, without having to wait two years to acquire additional funds when collection exceeds forecasts nor to have to return part of the payments on account when forecasts have been too optimistic.
The leader of ERC, Oriol Junqueras, already made progress on Thursday after meeting with the President of the Government, Pedro Sánchez, who “no one loses and everyone wins“with the new proposal, based on the principle of ordinality (who gives the most is the one who receives the most), which, he stated, would contribute an additional 4.7 billion eros to Catalonia without implying a loss in the level of per capita income as a consequence of the application of the system and its leveling mechanisms between territories.
