Young people up to the age of 35 will pay two thirds less IRS, with a maximum rate of 15 per cent.
Source: Freepik
Author: Redaction
Reducing the tax burden
to relieve families and young people up to the age of 35 had already
been discussed by the government led by Luís Montenegro, who announced
last April the measure to reduce the IRS Jovem to a maximum rate of 15%, from which the last bracket is excluded, in favour of the "high tax burden" felt by the Portuguese, which "prevents the creation of wealth, attraction of investment, job creation and better wages".
According to the government, "without better salaries, it won't be possible to retain our most qualified people", which is why, in order to promote this wage increase, a measure will
be approved this Thursday, 23 May, in the Council of Ministers, setting
the maximum rate of IRS Jovem at 15% for young people up to the age of
35, which means, according to the government's statements, that "our young people will pay 2/3 less in IRS compared to their current situation".
The measure, however, is only due to come into force next year, as
part of a package that includes various measures for young people,
including exemption from IMT and Stamp Duty when buying a first home, or
the public guarantee that will help finance this purchase.
Joaquim Miranda Sarmento, Minister of Finance, pointed out last week that the measure will cost around "one billion euros", compared to the current cost of 200 million and, according to the minister, since the measure costs 1.2 billion euros, "the net impact is one billion".
The proposal calls for the update of the IRS Jovem to be applied
"in a lasting and structural manner, which implies a 2/3 reduction in
the currently applicable rates, with a maximum rate of only 15%,
targeting all young people up to the age of 35, with the exception of
the last income bracket", i.e. the 8th bracket.
Русский
Português
English
Français
Español
Deutsch
Nederlands
中文(简体)
