BREAKING: Spain’s PM Announces Tax Increase to Cope with Crisis and Encourages Residents to Spend

Spain’s Prime Minister, Pedro Sanchez, has announced that taxes will rise in order to cope with the recent health crisis and he encourages residents to spend their money to re-activate the economy.

Sanchez has announced that increasing taxes and “fiscal reform” is an inevitable part of the recuperation process but that this must “be matched with the economic growth of our country.”

This fiscal reform is necessary as there is a seven-point gap between Spain and the European welfare state average.

It is estimated that the most notable tax increases will be for large corporations and high-income tax brackets, not Small and Medium-Sized Enterprises (SMEs).

Reduced VAT will go up by 10 per cent today and the super-reduced VAT will increase by 4 per cent.

Furthermore, there is the opportunity to create green taxation which Spain is currently lacking.

Sanchez has encouraged residents in Spain to keep their hopes up and look “forward.” He proclaims that the Spanish population must “go out to the streets and foment the economy.”