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Saying No to Austerity, Spain Unveils Tax Cuts
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Spain's plan to reduce corporate taxes by 5% and individual income taxes by average 12.5% in 2015-2016, reversing earlier austerity measures. A similiar move in Italy.
Plans to cut corporate taxes by 5% and individual income taxes by 12.5% in Spain for 2015-2016, reversing earlier tax increases
06/20/2014
The plan comes as the ruling Partido Popular party faces new parliamentary elections in 2015. This is a significant effort to reverse the austerity measures since 2011. Similiar moves are being made by the new government in Italy to reduce taxes and reverse earlier austerity moves. A new coalition government of the CDU with the Socialist SPD in Germany has created a new climate for these moves to reverse austerity.
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The IMF comes out on Spain's side in 2012 saying deficit reduction should have taken into account the weaker economic outlook
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The IMF in April 2012 says cuts in Spain may be too severe and cautioned that austerity measures could push Europe into recession.
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New York Times 06/20/2014
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