António Cotrim / Lusa
The Minister of State and Finance, Joaquim Miranda Sarmento
After a year has seen a similar proposal sponsored by Parliament, the government will again try to lower the IRS to taxpayers in the 7th and 8th echelons.
Luís Montenegro announced on Tuesday a cut of 500 million euros in the IRS, which should also include the 7th and 8th level earns between 3500 and 7000 euros Gross monthly, advances.
The measure will have a retroactive impact on January this year and especially benefits taxpayers in these last two single -sized single levels. This proposal comes about a year after a similar measure of the government was LOCKED BY VOTE AGAINST LEFT and the abstention of the arrival.
Instead of the government measure, Parliament eventually approved a proposal from the socialists who limited the fiscal cut to the lower levels and left out the 7th and 8th echelons.
Now, with a reinforced bench, but still without absolute majority, the government of AD intends to go beyond the previous proposal, proposing cuts in the rates of the 7th and 8th echelons – from 43.5% to 43% and from 45% to 44.75%respectively – and also expand tax relief to the lower echelons.
The proposal will be formalized in the Council of Ministers in the next two weeks and later submitted to parliamentwhere it will continue to depend on the support of other political forces to approve, although government parties now have more deputies than a year ago.
In the debate of the government program, Montenegro challenged the PS to collaborate with the executive “at a historical moment”, Noting that this tax reduction aims to“ solve the concrete problems of the Portuguese ”.
The proposal is part of the electoral promise of the democratic alliance and aims to alleviate the middle class, which has been pressured by the tax burden and inflation.
According to the Minister of Finance, Joaquim Miranda Sarmento, the reduction will be reflected this year In the retention tables at the source, allowing taxpayers to feel the monthly impact on their salaries, with retroactive to January. The goal in the medium term is to reach a total reduction of two billion euros in IRS by 2029.
