Particle.news
Download on the App Store

Ayuso Sets 2027 Start for New 0.5-Point IRPF Cut in Madrid

The move fulfills a campaign pledge, with timing left to a 2026 approval window.

Overview

  • The 0.5 percentage-point reduction applies to the autonomous tranche of the income tax and is slated to take effect for 2027 filings.
  • Regional rates would span from an 8% minimum to a 20% maximum after the change.
  • The regional government estimates about €500 million in annual relief benefiting roughly 2.9 million taxpayers.
  • Officials say 71% of beneficiaries earn below the regional average of €35,000, with an average saving of about €635 versus a taxpayer in Catalonia.
  • The re-announced measure follows earlier doubts tied to a claimed €10.5 billion owed by the central government, though no specific legislative date has been set.