According to an EY study published on Tuesday, the vast majority of entrepreneurs want the State Budget (GB) for 2023 to include fiscal measures that respond to inflation (94%) and the energy crisis (84%).
“It was concluded that 94% of respondents call for changes to the IRS which mitigate the effects of inflation and allow for higher wages real growth in household net income“, EY said in a statement.
Queue, 87% of companies defend taking action at the IRS (Personal income tax), which in the short term lead to an increase in the net income of families, warning that if this does not happen, there may be a decline in private consumption.
Measures presented reformulation of steps, reduction of progressivity of rates and extension of deductions.
Already 70% of companies want changes in VATwith a focus on applying a reduced or intermediate rate to natural gas and electricity consumption, a change that 84% of companies want.
are still considered 65% of companies complain that their IRC is being moved (Corporate Income Tax), focusing on measures such as flexibility in the periods of use of tax losses and credits and the reduction of autonomous tax rates and government surcharges.
With regard to fiscal competitiveness, 69% of entrepreneurs consider it important to abolish stamp duty when buying a property intended for the rental market.
“With inflation driving up interest rates, 58% of companies are in favor of extending the stamp duty exemption for supplies, making it less expensive for partners or shareholders to use financing,” the document said in a statement.
With regard to the stability of the tax system, 86% of companies want to reduce to 90 days the statutory deadline for responding to requests for non-urgent mandatory information.and, while 50% require measures that provide for minimum periods of fiscal stability for some tax system structuring rules.
Nearly 70% of entrepreneurs also noted the need to introduce a tax incentive related to the creation of jobs for young people. and creating tax credits.
In the fifth edition of this review entrepreneurs again gave a “negative note” to the Portuguese tax systemwith an estimate 2.02 on a scale of one to five.
EY stated that all domains analyzed were negatively assessed by entrepreneurs, and that the worst-scoring areas were access and speed of the tax justice system, and the high weight of the overall tax burden.which received an average score of 1.59.
“Given the long-term inflation target of 2%, companies would like to see the abnormal growth in tax revenues resulting from the current structure already in the state budget for 2023 translated into a reduction in the tax burden,” he said. Luis Marquez, EY’s “country tax leader”
For this study, a sample of 105 companies operating in Portugal was considered, mainly in the financial services (25) and manufacturing (12) sectors.
Of the total number of companies examined, the majority have a turnover of more than 25 million euros (61%) and more than 250 employees (56%).
Respondents are primarily responsible for tax, executive presidents (CEO), “chief financial officer” (CFO) and administrative or financial directors (58%).
