Reality of public accounts in Spain
THE CORRECTION OF IMBALANCES MUST NOT NECESSARILY BE CARRIED OUT BY INCREASING REVENUES, BUT BY REDUCING PUBLIC
SPENDING WITH CRITERIA OF EFFICIENCY AND EFFECTIVENESS
Public spending systematically exceeds revenues without evaluation of its efficiency
Budget imbalance resulting in persistent public deficits over the last decade and high levels of debt
Tax burden and fiscal effort in Spain
THE TAX BURDEN IN SPAIN IS LOWER THAN THE EU-27 AVERAGE, ALTHOUGH THE EFFECTIVE FISCAL EFFORT IS HIGHER
The tax burden in Spain was 3.4 pp below the EU-27 average in 2020
Spain, 8th country in effective FE in the EU-27
In labour income, the TB on social contributions payable by the company was 2.6 pp higher than EU-27 average in 2020
The weight of labour income tax collection in Spain, close to the EU-27 average, despite higher unemployment and lower employment
In Spain, VAT TB was 0.6 pp lower than the EU-27 average with a similar general rate in 2020
Spain maintains the wealth tax, which is extinct or residual in the rest of the EU-27