The second deputy prime minister and minister of Labour reminds that the minimum wage is exempt from income tax and criticises the PP's economic project. Feijóo responds with a guarantee of automatic exemption.
The second deputy prime minister and minister of Labour and Social Economy, Yolanda Díaz, has reminded the leader of the PP, Alberto Núñez Feijóo, that the Minimum Interprofessional Wage (SMI) is exempt from income tax. This was reported by pressdigital.es, which places Díaz's statements during her visit to the TándEM Training and Employment programme.
During that visit, the minister defended that it is the first time in Spanish democracy that taxes on salaries below 21,000 euros have been reduced. According to her words:
"In Spain, the incomes that receive the minimum wage, salary incomes in general, including pensions below 21,000 euros, are exempt from taxation"
Díaz also issued a warning to pensioners, workers, women, and young people regarding the PP's economic project. The minister accused the popular party of lying and stated that they do not commit to the policies of the Ministry of Labour or the Government.
The Minister of Finance, Arcadi España, replied on his X account that the Government has been reducing income tax for the lowest incomes for four years. As an example, he pointed out that those earning the SMI, set at 17,094 euros per year, do not pay income tax, whereas during the PP's tenure, they paid an average of 1,800 euros in nominal terms, or more than 700 euros in constant prices.
Feijóo has guaranteed on his social media that "any increase in the SMI will be exempt from income tax by law and automatically." With this, he criticises the confrontation between the ministries of Finance and Labour over whether the minimum wage should be exempt from taxation. The PP leader added on X: "I do not intend to repeat the lamentable spectacle of Sánchez's government, which wanted to give part of the increase to the Treasury until we put a stop to it."
For now, the SMI is exempt from income tax. The automatic exemption proposed by Feijóo for future increases has yet to take the form of law.
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