The Social Democrats will present a proposal to modify the State Budget for 2024 to try to stop the increase in the Single Circulation Tax (IUC) for cars and motorcycles prior to 2007. According to Hugo Carneiro, PSD deputy, the measure proposed by the Government Socialism It has two capital sins: it will affect the middle class and the lower-middle class; and serves to feed the “fiscal master of the Government”, who, in matters of taxes, “gives with one hand what he takes with both”.
The State Budget proposal for 2024 provides for a substantial increase in the IUC for around 3 million cars and 500 thousand motorcycles. According to the Government’s accounts, the increase in the tax on these vehicles will allow an annual income of 84 million euroswhich, according to Eco, could serve to offset the annual cost of 72.4 million euros with a 30% reduction in the price of tolls on six ex-SCUT highways (at no cost to the user) in the Interior and the Algarve.
Given the controversy that the measure has caused, Fernando Medina it’s already come relativize the real impact of this increase on the daily lives of families. “We had a sense of caution and gradualism when deciding on this measure. This is a maximum increase of 25 euros per year, it is only two euros per month, in a context of increased income in general. “We are facing a weighted, circumscribed, very limited increase in relation to the IUC, which will be accompanied by measures to encourage the scrapping of old vehicles and the acquisition of electric vehicles during the year 2024,” he explained.
Now, Medina’s arguments do not have the sympathy of the PSD. Even admitting that taxation can and should have an “environmental component”, he insists on the measure designed by the socialist Executive Hugo Carneiro, will affect those with less income and seeks to compensate a good idea – the reduction of tolls – with a bad one, which is the increase of one more tax. “If there is any compensation mechanism, it has to be found within the State Budget, not aggravating taxation,” argues the social democratic deputy.
As designed, the measure provides for a safeguard clause, determining that the increase in the IUC cannot increase, each year, by more than 25 euros. Hugo Carneiro has doubts about whether this “brake” will really work over time and leaves another warning: “If the Government follows the example it has given in terms of tax revenues, we suspect that the recipe [com o agravamento do IUC] “It will probably be higher than the estimate.”
Source: Observadora
