Spain: Reductions in individual income tax rates and repeal of wealth tax for 2022 tax year (Andalusia)
Taxpayers must still file a wealth tax return when the value of assets and right for wealth tax purposes exceeds €2 million
Reductions in the regional individual (personal) income tax rates and repeal of the wealth
Decree-Law 7/2022 published on 21 September 2022 in the official gazette of the government of Andalusia introduces reductions in the regional individual (personal) income tax rates and repeal of the wealth tax—effective for the 2022 tax year.
The law also relaxes requirements for granting deferrals or installment arrangements for taxes over which the Andalusian tax agency has jurisdiction and temporarily adds a fixed availability fee and a variable water consumption fee to the charge for the upgrade of hydraulic infrastructure in Andalusia.
Reductions in individual income tax rates
The regional individual income tax rate was reduced by 4.3%, and the amounts of the individual income tax brackets were increased.
In addition, the individual and family allowances for regional individual income tax purposes were increased by 4.3%.
Repeal of wealth tax
Even though no wealth tax is due, taxpayers must still file a wealth tax return when the value of assets and right for wealth tax purposes exceeds €2 million.
Read an October 2022 report [PDF 506 KB] prepared by the KPMG member firm in Spain
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