The Spanish Confederation of Business Organizations (CEOE) has given a mixed response to the tax overhaul proposed by Spain’s Expert Committee on Tax Reform. Its recommendations focused on lowering direct tax rates by cutting back on the number of tax expenditures, and broadening the indirect tax base.
The CEOE has commented that it favors an immediate cut in employers’ social charges to strengthen the economic recovery and to boost job creation. On this point, it noted that the Government reversed plans to reduce social security contributions by 2 percent in 2012, a planned reduction that was to be paid for through an increase in value-added tax (VAT).
