The president of Galicia, Alberto Núñez Feijóo, said yesterday that he would lower his region's personal income tax, which will affect 7 out of 10 Galicians.
He is dropping the tax rate from 12% to 11.5% for those who have a taxable income of at least 17,700 euros. Critics complain that this will only yield around 84 euros per taxpayer annually. Still, the move is significant.
Cutting the personal income tax should help boost spending and economic growth. Also, Feijóo is not waiting until 2015 like the national government to make the cuts. Galicia has been able to balance its budget better than other regions, and that will allow it to march forward and set the pace for others to follow.
