In a press conference at the parliament, the parliamentary leader of the PCP, Paula Santos, acknowledged that "there are too many taxes", but stressed that these additional taxes "are on earned income and micro, small and medium-sized companies", because "there are actually fewer taxes on capital".

Therefore, she continued, the PCP decided today to submit a bill that, in the immediate term, seeks to "introduce greater tax fairness", and which will be debated this Wednesday in parliament together with the Government's bill on the matter.

According to Paula Santos, the PCP's bill seeks to introduce "tax relief on low and middle incomes" and, at the same time, increase State revenue "through higher taxation of capital and wealth income".

To achieve this, the PCP proposes reducing the IRS rates of the first and second brackets by 12.5% and 17%, respectively, which Paula Santos said would have "a positive impact on all IRS brackets, especially on incomes in the brackets immediately following these".

Alongside this proposal, the party also suggests that the value of the specific deduction be increased from the current 4,104 euros to 5,208, which would represent "an additional 1,100 euros deducted from the taxable income".

"The update of the specific deduction is an element of greater tax fairness, because its impact is mainly felt on the lowest and middle incomes, namely up to and including the 6th bracket", she explained.

Paula Santos claimed that the impact of these two measures is "greater than that proposed by the Government up to the 6th bracket", stressing that, with the PCP's bill, a person with a gross monthly income of one thousand euros would have an annual tax relief of 266.70 euros - compared to 30.22 with the Government's - and someone earning a salary of 2,500 euros would have an annual reduction of 503.97 euros, compared to the 243.54 proposed by the executive.

"This means that, with this proposal, what we are proposing has a more significant impact on the lowest and middle incomes than the proposal presented by the Government", she stressed.

The parliamentary leader of the PCP also argued that the party's proposal brings "another advantage", namely the fact that it brings "greater tax fairness with a positive impact on State revenue".

"That is why we propose increasing the rate in the 9th bracket. We are talking about taxable incomes exceeding 81 thousand euros, applying a rate of 53.5%, and creating the 10th IRS bracket, for incomes exceeding 250 thousand euros, with a rate of 56%", she stressed.

The PCP also wants to end the non-habitual resident regime and the mandatory inclusion of capital and wealth income from 81 thousand euros, i.e. from the 9th bracket.

Paula Santos stressed that, with this proposal that "objectively reduces IRS for lower and middle incomes, introducing criteria of tax fairness", the PCP will confront the Government and the other parties.

"We will see who actually agrees with greater tax fairness and who intends to aggravate tax injustice as a manoeuvre with the aim of reducing taxes for large companies", she said.

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