The government’s proposal provides for decreases in IRS rates of 0.5 percentage points between the first and third levels, 0.6 percentage points between the fourth and sixth and 0.4 percentage points in the seventh and eighth.
In a statement, the Council of Ministers stressed that the approved proposal “allows a new relief from the tax burden, additionally reducing marginal rates at all echelons, to the 8th level.”
The government’s proposal provides for decreases in IRS rates of 0.5 percentage points between the first and third levels, 0.6 percentage points between the fourth and sixth and 0.4 percentage points in the seventh and eighth.
In the same note, the Council of Ministers stressed that the government wants to “approach, as much as possible, the amount of tax withheld to the one that is due at the end”.
“Thus, new retention tables will be approved at the source that will reflect the reduction of IRS rates, with retroactive effect to January”, can be read.
The measure had been announced by Prime Minister Luís Montenegro in an interview with RTP tonight.
Luís Montenegro also said that the proposal would enter “Today [quarta-feira] even in the Assembly of the Republic so that it can be discussed next week. “
Montenegro promises to continue down the IRS
The Prime Minister pointed out that this will be the third IRS descent in governments he leads and promised to “continue to do so during the legislature.”
According to the Council of Ministers’ statement, this IRS reduction in all levels, except the highest, allows you to “increase available income, as well as the state budget to 2025, benefiting all families, especially those of the middle class.”
Government also pointed out that, with the additional reduction, the lower levels and families in the middle class will feel “an even more significant fiscal relief from what was expected for the year 2024”.
