Tuesday 8th November 2022 – Mike Smith
Source: Ajuntament de Xàbia
Xàbia Council has announced a series of economic measures to support residents and business in the municipality who are facing the rising cost of living, energy and uncertainty caused by global crises. And one of these measures includes the total elimination of the tax charged for the collection of rubbish during 2023.
Mayor José Chulvi and the councillor responsible for the Treasury, Ximo Segarra, released details of the proposals which will be debated at the next plenary session and range from tax reductions and the temporary withdrawal of obligations throughout 2023 to direct aid to companies and families in precarious conditions as well as economic promotion campaigns and inventives to encourage local shopping and consumption.
At the end of last month, the local government confirmed that the 17% discount applied to IBI (property tax) contributions for 2022 will be extended into 2023. And now, no registered resident of Xàbia will be charged for the collection of rubbish during next year, a global saving of some 4 million euros for taxpayers, equating to 125 euros per household and for the 1,800 business premises, a decision that has been considered to be “progressive compensation” for what is affecting residents most at the moment, the rise in the cost of electricity.
In addition, the council has suspended the rate normally charged for the municipal nursery school which amounts to some 165 euros a month, saving young families who have their sons and daughters enrolled in the municipal service more than 1,000 euros until the end of the course.
At a company level, as well as the suspension of the rubbish collection tax, the opening license fee is also suspended, hoping to stimulate the creation of businesses and support business people in the town.
In all cases, these are automatic measures which will be applied without the need for residents or businesses to carry out any application process and they will not affect the level of income tax return.
In addition, an amount of 300,000 euros has been reserved for direct aid to companies and the self-employed in case any circumstance makes it necessary to provide extra support to a specific sector. Initiatives and campaigns will also be promoted to support local businesses, either through monthly discount vouchers or other initiatives.
Meanwhile, funding for Social Services is also being strengthened with 1.3 million euros available for emergency aid to those people who are in a situation of special vulnerability whilst an additional 1.1 million euros has been put aside for a new social employment initiative.
Both the mayor and the councillor have stressed that these are “extraordinary measures for extraordinary times” which amount to a total of 10 million euros, which represents a quarter of the municipal budget.
The mayor explained that “we have put together everything in our power to support residents, cancelled or lowering two tax obligations which are two great pillars of our income”. He added that this has been possible because the local council has enjoyed “a very good level of savings” and becase the Spanish Government has suspended the application of fiscal rules to local councils to make it easier for them to make initiatives to protect local families and businesses.
No cuts to services or investments
The mayor insisted that these measures will not involve any cuts to municipal services or benefits, adding that “in the face of global uncertainty, we want our residents to have one certainty and that it that Xàbia will continue as always with its cultural, sports, and leisure activities, with its projects and investments, with its contingency funds, and most importantly, putting people first”.
He said that it is important “to support those who strive every day so that our economy doesn’t stop, efficiently and discreetly protecting those most vulnerable people, and providing all the necessary resources to protect jobs and the well-being of the residents of this town”.