Mallorca PP seeks VAT relief below €85,000 turnover

Self-employed people on Mallorca with annual turnover below €85,000 would no longer add value added tax (VAT) to their invoices under a Balearic People’s Party plan. José Vicente Marí Bosó, the party’s lead candidate for Spain’s Congress of Deputies, sets out the proposal at a pre-election meeting with young business owners and self-employed workers in Manacor, Mallorca, on Monday, 9 November. The party says it would introduce the change if it takes power.

Marí Bosó argues that young people face steep barriers to starting a business. He puts youth unemployment at 24.5% and says 14.5% of young people live independently. Across the Balearic Islands, he says, 109,000 people are registered as self-employed.

His plan would also set social security contributions at zero for someone’s first year of self-employment, with the option to extend that to a second year. Self-employed people would file two tax returns a year instead of four, while those just starting out would file one. The party also wants clearer rules on deductible expenses.

For someone hiring their first worker, the PP proposes help with social security contributions. It also wants to waive contributions for two years for self-employed parents returning to work after having a child. For now, all the measures remain campaign proposals.

Topics: Politics · Economy · Manacor

Source: Europa Press / Mallorca.com