SPANIARDS are bracing themselves for more tough austerity measures with the government set to announce its latest budget on Thursday.
The reforms will include spending cuts, tax rises and a freeze on pensions aimed at addressing a €60 billion shortfall in the economy caused by the collapse of the property market.
The tightening of the country’s collective belt will also help Spain meet the terms which are being imposed by the EU before a bailout will be granted.
The timescale of any request for financial help by Spain remains unclear, with doubts remaining over whether Madrid will need it.
The reforms are not expected to ease Spain’s 25% unemployment, with some analysts predicting the figure could rise to 26.5% next year.
Just tackle the black economy as at the moment it is a free for all with more people than ever working cash in hand while claiming their benefit.
I have had six different tradesmen do work for me over last 2 weeks and not one wanted to charge me IVA, when I asked for an IVA factura they thought I was joking. The rise in IVA has just made the black economy bigger yet the government still take the easy option to tax those who are already paying tax.
mark if you wanted the ” factura” the tradesmen should have given it to you because if you have no factura you have no guarantee of the work done for you.Factura means security even if you have to pay that IVA extra.
You pay builders cash sometimes don’t you… even in uk a lot of the time – unless it’s a massive job. There’s loads of empty houses in Spain – start there!
I always get a factura and pay IVA. Yes all over the world there is a cash in hand economy but here it seems to be almost everything
now I know you don’t live in Spain because you are talking out of your rear end.
I had two cataract ops done in Spain – I paid privately and when I asked for receipts the surgeon just looked at the ceiling.
Try offering to pay with a cheque and see what happens.
We were going to rent a small house in the neighbouring village of Alcudia. All was going smoothly until I asked for the phone to be re-connected so I could get the i/net. The owner refused saying I should do that – strange? then I asked for a rent book and agreement – he almost had a heart attack.
So I then said I would contact the Guardia over his corruption – I have never seen a small fat man run so fast.
Not sure which tree they found aussie sunshine under as no sunshine definitely didn’t fall on him. Naturally there is no cash in hand in Australia, everything is above board and perhaps they could tell the rest of the world the trick.
Aussie has no clue at all about life in Spain. Talk about caught out lol.
Stuart: There is a good book out there in English¨
The Spanish Property Guide” by David Searl. There you will find that if you want a telephone line installed The landlord does it but if you want to re connect the tenant does it.and if HE REFUSED AN AGREEMENT HE WOULD BE THE LOOSER NOT YOU! so it hard to believe what you say…..Besides the Guardia Civil was the wrong law and order department to take your case to…The POLICIA NACIONAL handles thse cases… Are you sure you are living in Spain or In Disney world in Paris!!??
Try being autonomo (self-employed) then you will realise why nobody wants to give you an invoice. The government earn more of our salaries than we do each month and then if your business goes under your not entitled to employment benefit, even though we pay our taxes and social security like an employed person. It’s a joke, they rob you clean. There is absolutely no benefit for self-employed / small businesses in Spain, when in reality they should be helping us, help them build their economy.
In fact when someone doesn’t know afterward its up to other people that they will help, so here it takes place.