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The Municipal People's rise to the regular plenary session in March to be held next Tuesday, the 30th, at 20:00 pm in the consistory aquiline, a motion of support to consumers and which will be asked to urge the National Government to immediately suspend the tax reform as regards the VAT hike, addressing a tax cut to consumers, withdrawal from the digital fee increases and to freeze electric rates for families and bet on a policy of support for consumers, one of the segments hardest hit by the economic crisis and should star in the economic recovery.
The motion to be debated in plenary session by all political groups represented municipal, reads as follows:
The Draft Law on State Budget for 2010 collected in tax rules, a VAT hike which comes into force on 1 July.
Furthermore, the Government has conducted a series of actions that pose an additional increase taxes disguised as increased electricity tariffs, the digital canon or decreasing pensions back door as a result of the abolition of rent 400 euros.
These increases disguised as well as being widespread, unfair and ineffective, will further deepen the negative effects of the economic crisis affect Spain and, above all, classes hardest hit by the crisis, as the unemployed and pensioners.
All parliamentary spectrum without exception and the social partners have been extremely critical of these decisions taken by Zapatero to try to hide his erratic economic policy in which unemployment rates and absorb all the revenues generated by the levy of VAT at a cost of 3,000 million euros.
As for the anticipated rise in VAT, it will move to the prices taking immediate and damaging effect on inflation, a harsh impact on the decline in the purchasing power of households and consumption in general.
These negative consequences are going to be further aggravated by rounding up that will surely be in consumer products.
Therefore, and as requested by various consumer groups, the PP claims to the National Government the implementation of a plan of information and awareness to avoid rounding up prices.
All experts agree that in this time is premature to adopt restrictive measures as a general increase taxes, which could only help reduce the disposable income of citizens and further depress the mood of the economic and demand .
Even the European Commission as a leader in the socialist economy by Commissioner Almunia, as his successor, Ollin Rhen, have complained that the VAT increase will delay the recovery of GDP timid increases in the coming months but a further decline as Following the entry into force of the VAT hike, Spain being the only major Member State which provides a further contraction of the economy in 2010.
The People's Party insists that the tax increases proposed by the central government will cause a significant drop in output and employment, punish consumers and significantly delayed recovery.
Furthermore, with regard to the redistribution of tax burdens, increasing the tax will have a greater impact on the poor and elderly by their nature regressive, since consumption taxes are a much larger load total tax in this segment of the population.
The Zapatero government does not learn from their mistakes.
The last time the Minister Solbes decided to raise VAT rates (in 1995) the main consequence was a fall in consumption that caused the government to collect 900 million euros less than expected, 4.2% less than expected.
To this must be added that the Popular Party claims that the Socialist Party to reconsider its position regarding the application of digital canon, as there is a general outcry from the Internet in its implementation, revenue management institutions in Spain have earned income increased more than noticeable in recent years, CDs and DVDs in Spain pay higher fees in Europe and the high amount of the fee encourages fraud and will place Spain in a less competitive with other countries slowing the development of Information Society.
Furthermore, the PP has already warned that the liberalization of the electricity sector would produce a significant increase in the price of light.
Besides this, the management of utilities, Unesa, suggest that the anti-crisis plan Zapatero government will cause a further rise in the light by 65% as a result of a calculation of energy demand inflation and the election by the Government of an energy mix based on the strong growth in high-cost energy.
For all the foregoing, the Municipal People in the City of Eagle will be asked to approve the following:
To mark the recent celebration, March 15, World Day of Consumers' Rights, the Plenary Hall of Eagles, expresses its commitment to consumers, the real engine of the economy, and urges the Government of the Nation to immediately suspend the tax reform as regards the VAT hike, addressing a tax cut to consumers, withdrawal from the digital canon and to freeze increases in electricity rates to families and to bet on a policy support to consumers, one of the segments hardest hit by the economic crisis and should star in the economic recovery.
Source: PP Águilas
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