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Discussion Starter · #1 ·
It's good to see there is some serious thinking going on about reforming the system of financing the autonomous regions, with a view to eliminating the substantial differences between regions in some types of taxes. I hope whichever Party comes to power after the November elections will keep this issue high on their agenda.

El caos fiscal que enfrenta a España | Economía | EL PAÃ�S
 

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It's good to see there is some serious thinking going on about reforming the system of financing the autonomous regions, with a view to eliminating the substantial differences between regions in some types of taxes. I hope whichever Party comes to power after the November elections will keep this issue high on their agenda.

El caos fiscal que enfrenta a España | Economía | EL PAÃ�S
There's no doubt the current arrangements are a mess, but what should replace it? Greater funding from the centre would limit the jealously-guarded autonomy of the regions to formulate their own policies. Allowing them to keep a greater share of income tax and IVA generated locally would benefit the wealthier regions to the detriment of the poorer ones.
 

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I'm pretty sure it was one of the 2011 election promises from the PP :rolleyes:
Probably been too busy counting and hiding their ill-gotten gains.

Maybe pressure from the new Parties snapping at their heels will make a diffference and something will actually get done about this, although I do appreciate lots of noises have been made about it before which have never translated into action.
 

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Probably been too busy counting and hiding their ill-gotten gains.

Maybe pressure from the new Parties snapping at their heels will make a diffference and something will actually get done about this, although I do appreciate lots of noises have been made about it before which have never translated into action.
I think it would be far too difficult, as there would be so much resistance from the regions that would lose out.

One thing they promised that I wish they would crack on with, though, is the rationalisation of all the different levels of local government (comarcas, mancomunidades, ayuntamientos, diputaciónes etc). Each level has a rake of politicos all claiming expenses and pensions, which costs the country a fortune. And it's so inefficient; every little town is collecting its own car tax, for example, and none of the computer databases talk to each other.
 

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I hope you are going to leave our IHT rates alone. Perhaps it would be better to look at the smaller ACs and do some merging so that they become more efficient units.
 

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I hope you are going to leave our IHT rates alone. Perhaps it would be better to look at the smaller ACs and do some merging so that they become more efficient units.
Yes, when you have generous allowances as in Andalucia, it must be worrying if someone decides to make it fairer for everyone by standardising IHT allowances, or putting them under the state umbrella, thus avoiding the massive differences that make it a post code lottery, one person paying many thousands, another nothing, through no fault of their own.
As I said before, " I'm alright, Jack" springs to mind
I for one, hope there is a massive change in how iht is determined, and if that shakes the smug, self satisfied people who don't want their little world tinkered with, in order to make if fairer for others- tough!
 

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Yes, when you have generous allowances as in Andalucia, it must be worrying if someone decides to make it fairer for everyone by standardising IHT allowances, or putting them under the state umbrella, thus avoiding the massive differences that make it a post code lottery, one person paying many thousands, another nothing, through no fault of their own.
As I said before, " I'm alright, Jack" springs to mind
I for one, hope there is a massive change in how iht is determined, and if that shakes the smug, self satisfied people who don't want their little world tinkered with, in order to make if fairer for others- tough!
So you are saying we should have a level playing field that is rougher and worse rather than your AC improving so that you have a decent playing field. It isn't a postcode lottery, it depends on where you choose/chose to live.
 

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When I chose to live in Murcia it had a very generous iht allowance, similar to Andalucia and Valencia
This changed in July 2013, when allowances were abolished.
This could have happened to you , so it is not anyone's fault if they choose to live in a region that makes such unexpected devastating decisions.
Yes I would.
prefer a level playing field- if every region abolished allowances, at least it's fairer
The best thing that could happen however, is to take away the power of the regions to determine such an important tax, which should be set by the state at a realistic level, unlike the risible level it is set at now
16 k in Spain 325 k - ludicrous( yes, I know it's on the person in Spain and on the estate in the UK)
It's still pathetic
 

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Things like IHT need to be determined by the state, not the whims of the regions!
IHT is not one of the most important areas that need to be determined by the state imo. I'd go for more cohesion in education and health policies first
 

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Why stop at the state, why not advocate for these policies to be made by the EU or even the UN?

The point is that we live in a country where the regions are to a greater or lesser extent autonomous (for historical reasons some, like Catalonia and the Basque Country, have more powers than others). This was the price paid during the transition to democracy for keeping Spain as a single nation. The ACs have their own elected parliaments, raise their own taxes and determine their own policies, reflecting the democratic will of their inhabitants. You can't just wish all that away just because you don't want to pay inheritance tax.
 

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No one wants to pay inheritance tax! Spouses certainly shouldn't- it's immoral that they have to.
It's all very well for people in regions where the allowance is generous to go on about this
It's certainly an unjust situation where someone in Murcia may pay thousands on the inheritance, where over the border another pays nothing.
Something has to be done to even out the differences. I thought something was in the pipeline about this.
Cetainly no region should be allowed to just abolish them
 

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No one wants to pay inheritance tax! Spouses certainly shouldn't- it's immoral that they have to.
It's all very well for people in regions where the allowance is generous to go on about this
It's certainly an unjust situation where someone in Murcia may pay thousands on the inheritance, where over the border another pays nothing.
Something has to be done to even out the differences. I thought something was in the pipeline about this.
Cetainly no region should be allowed to just abolish them

I personally think inheritance tax is quite a fair tax. If you benefit financially from an inheritance, it is effectively unearned income and should be taxed like any other income. But not on your own home. Are you saying that a spouse in Murcia now has to pay IHT on the family home? At what rate?
 

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Spouses pay iht on the deceased's assets, so that includes half of their jointly owned home.
Inheritance tax is something that should be determined by by central government, to be fair to all, not those lucky enough to live in an area of generous allowances.
 
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