The Spanish Association of Tax Advisors (Aedaf) has announced this Thursday that the State will be obliged to return the temporary tax to large fortunes with interest to the affected taxpayers who have appealed it if the figure is finally declared unconstitutional. The advisors thus recommend liquidating the tax and challenging it “immediately” afterwards.
“This is damaging public arcades in the medium term, because immediate collection is taking precedence and medium-term collection is being harmed,” the president of Aedaf, Stella Raventós, denounced at a press conference during the presentation of a new study on the temporary solidarity tax on large fortunes.
According to the tax advisors, the defective technical articulation of the limit of the full amount of the tax, the result of the “vertiginous and reprehensible” parliamentary process of the norm of legal rank in which it is inserted, has led to the alleged harmonizing effect with the Tax of Heritage has been blurred in an certainly significant way.
According to the advisers, the approval of measures with such “deficient technical quality” contributes to the multiplication of litigation and the blocking of all reviewing bodies, in addition to putting pressure on the taxpayer and the taxpayer’s advisor e. For the advisers, the anomaly in the parliamentary procedure is decisive in order to determine the unconstitutionality of the tax.
Waiting for the Constitutional to be pronounced
Therefore, from the Association they have recommended to all its members to declare the temporary tax and immediately challenge it. “If the Constitutional Court ruled, the return would be made to those who have initiated the appeal process and who have raised this issue,” they stressed.
With this tax -which is levied in 2022 to begin collecting this 2023–, the current Executive of Pedro Sánchez has focused on those assets greater than three million euros so that, in a context marked by the economic impact of the war in Ukraine and the price crisis, cannot be exempted by the bonuses of regional governments.
In the so-called ‘solidarity tax’, you can deduct the fee paid for the Autonomous Heritage Tax, to prevent large fortunes from paying twice for the same taxable event. The new tax is 1.7% for assets between 3 and 5.3 million euros; 2.1% for assets between 5.3 and 10.6 million, and 3.5% for assets greater than 10.6 million euros. In addition, for the determination of the tax base of this tax, the rules contained in the wealth tax law are applicable, so that a reduction is included for the minimum exemption of 700,000 euros.
Some political formations have already advanced their intentions regarding this tribute. The PP advocates, a priori, suppressing it, but according to the advisers, if the Constitutional Court were to rule endorsing the constitutionality of the tax, the decision to repeal it in this case would be “more difficult because it is less marketable in terms of marketing policy”.