Tax Hikes Hit Lower and Middle Earners
A study shows Spanish families pay 25% more in taxes than in 2018. The Juan de Mariana Institute estimates people pay 460,600 euros in taxes over their lives. The government’s tax system is hurting lower-income earners.
The Juan de Mariana Institute conducted a study on Spanish taxes. The study found that income and property taxes have increased by 25% since 2018. The institute predicts that individuals will pay a total of 460,600 euros in taxes and social contributions throughout their lives. Taxpayers face higher burdens because the government hasn't changed income tax rates to match rising prices. This means people will pay more in taxes, from 250 to 2,160 euros, depending on how much they earn.
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Highlights
Increased Tax Payments
Spanish families pay 25% more annually in income and property taxes than in 2018.
Lifetime Tax Burden
People pay an estimated 460,600 euros in taxes and contributions over their lifetime.
Inflation Unadjusted Taxes
The government’s inaction on income tax rates worsens the tax burden.
Impact on Earners
Lower and middle earners face higher tax payments despite wage increases.
Variable Tax Increases
Tax payments will range from 250 to 2,160 euros depending on income.