NATIONAL FEDERATION OF SELF-EMPLOYED SUGGESTS CHANGES TO GOVERNMENT

The National Federation of Self-employed Workers (ATA ) has suggested several measures to get applied on the forthcoming tax reform. These have been studied in a meeting between the president of ATA and the Tax Office Minister, Cristobal Montoro.

The main proposals suggested are :

- Professionals retentions (withholdings): Right now the general rate for professionals during 2014 is 21% and the proposal is to be progressive , as it must not equal to retain  21% having low incomes than for higher incomes levels.

- Limitation to the fiscal modules system: To those activities whose direct beneficiaries are  final consumers and not other entrepreneurs or professionals. However, the change on this system must be taken in a long term allowing taxpayers to adapt to the new situation effect.

- Family Deductions: they must be recovered the deductions for family spending on health , education , aesthetics and rehabilitation , which would facilitate citizens hire professionals who pay their taxes and contributions towards those who are not in the system. The tax credit rate should be high enough so that it was no longer profitable to pay without VAT, establishing maximum deductible amounts.

- Deductions from private persons making investments in self-employed professionals:  with control and notarial registration , limited interest , limit amount of 30,000 euros and in order that the savings of individuals become productive and also a financial investment in the real economy.

- Infringements and sanctions to failure of payment deadlines established by the Defaulters Law.

In words of Mr. Amor, there has been a good reception by the Minister over the proposals made by ATA.

  

Some of these measures could be announced by Mariano Rajoy next week on the debate concerning the state of the nation.