Enthusiasm Whipped Up
Ahead of June 26 election, Spain’s acting Prime Minister, Mariano Rajoy, issued a Brussels Showdown, Tax Cut Vow hoping to get votes.
“The promise is intended to whip up enthusiasm for Mr Rajoy’s campaign, with a June ballot approaching after an inconclusive December election where his Popular party finished first but lost so many seats it was unable to cobble together a parliamentary majority”.
Today, Rajoy says Spain Set for Corporate Tax Rise as Madrid Tackles Deficit.
The private sector in Spain is set to shoulder most of the burden as the government moves to bring its wayward deficit into line, after the economy minister unveiled plans to raise an extra €6bn in corporate taxes next year.
Madrid is under intense pressure to find new ways to cut its yawning budget shortfall after EU finance ministers agreed on Tuesday to formally open sanctions procedures against Spain and Portugal.
Both countries were found to have done too little to reduce their “excessive” deficits, which under EU fiscal rules should be no more than three per cent of gross domestic product.
The government plans to raise an additional €6bn by establishing a “minimum rate” of tax to be paid by corporations. In addition, Spain foresees an additional €1bn in tax revenues through a crackdown on tax evasion, and savings of €1.5bn in borrowing costs as a result of lower than expected interest rates.
At a time when Mariano Rajoy, Spain’s acting prime minister, is in the midst of sensitive talks about forming a new government, either of those moves could have made an already difficult negotiation with the centre-left Socialists even more complex.
Groundhog Day
Via translation, Huky Guru writes We Repeat: Rajoy Promised to Lower Corporate Taxes Not Raise Them
I do not know if Mariano Rajoy has something to do with Bill Murray, but the PP government begins to remind the movie Groundhog Day, in which the weatherman Phil Connors lives trapped in a time loop in which each day waking occurs that lives in the previous day.
As in 2012, once again Rajoy promised in his election campaign he would lower corporate taxes after the the election.
On 4 June in Barcelona, during the presentation of the main measures of its program, Rajoy himself stood for lower taxes as the great commitment of his Popular Party (PP) legislature.
Real McCoy vs. Fake Rajoy
The “Real McCoy” lives on in history. The “Fake Rajoy” is a liar surrounded by scandals.
Mike “Mish” Shedlock
Read these lips– “Career politicians are like the dinosaurs watching that asteroid streak across the sky”…………Rajoy will get his.
LePen wins in France in April.
Rajoy is a long-lost brother of Globalist George Hubert Walker Bush. He also pronounced “Read My Lips. No New Taxes” to get elected in ’88, then promptly raised taxes in his one-term residency.
Bush Sr was dumb enough to believe the Democrats would make good on their promise to cut government spending.
Tip O’Neill played Reaqan like a cheap fiddle in order to accomplish the same end. Remember the promised “two dollars in tax cuts for every dollar of increased spending”? No adult supervision anywhere in sight, then or now..
Rajoy is no longer a fake. Now he has shown his true colors – a statist bitch.
Don’t they keep special houses for those?
Just Sr. Rajoy’s “broma de mal gusto” (joke in bad taste). So when IS the best time to lower taxes? Ans: Mañana. ALWAYS mañana!
No,,,are you serious,,,,a politician didn’t keep his promise?
So, after the “election” and the Anointed One takes the helm, where are we to invest? Seems to me the Globalist Banker’s selected POTUS will be good for the FIRE Economy. So, considering a re-do of the last Billery Administration, Financials and Real Estate will be the place to be. Au and Ag likely not so much.
Brexit, Rajoy and backasswards Italy might be important to Europeans and Islamists, but it seems now would be a good time to concentrate on some important domestic issues here at home, maybe?
I like Au and AG being “not so much” in favor. Makes for easy stacking…
_aleph_
If Billary wins, I’m stocking up on defense manufacturers, banks, and anything China.
Rajoy and Sanders attended the same finishing school.
Meet the new boss,
Same as the old bos….
Yeah I fail to see the “surprise in the surprise” too. Actually I don’t even know why I care in the first place…having said that the Pound is getting pounded yet again…which strikes me as really bad news for all the Free Market types over there as “Europa” is now in the midst of a full fledged currency War with a worthless Ruble at one end and an hysterically overvalued euro at the other.
I’m not clear if the policy of keeping the British Pound “worth less” than the dollar is in fact a policy of the British Government….if so that is a debate worth having because Little England besides being a very large energy producer (meaning prices for energy here in the USA could really fall based on Phantom European Demand that in fact is in a glut now too) but also produces just about everything else the World could ever need save food and weapons.
The British Pound is still an albeit small but still extant reserve currency as well…unlike say the Chinese Yuan…so even though relative to the US dollar it might be “worth less” it’s not the Euro, the Yuan, the Ruble, the Real, etc all of which may in fact be worth NOTHING.
In other words all you want to buy as an American “financially speaking” at the moment is Yen and then see who can build the best “whatever” in dollars, yens or Pounds…all levered to 100 to 1 of course.
That doesn’t sound like good news for energy…gasoline to 50 cents a gallon by Saturday?
Copper, steel, aluminum…had for pennies a “pound” so to speak. The price of an actual Tesla Model S or Model X is already dropping below 60,000 US.
If that starts to include the solar panels, the Powerwall, the inverter and installation the power BILL for the above average American household could drop to ten bucks a month.
Starting like…next week…
Putin got Barry’s goat when he banned homosexuals from the Soichi Olympics. Then came East Ukraine and Crimea. It’s personal between Barry and Putin. Prepare for one parting giant payback before Barry leaves office. Fifty Cent gas could happen.
… about the pound, it would make sense that the banker-elite play would be designed to bring the pound value down and stir fear among the citizens that all the predictions were coming true. How long they can keep that up is anybody’s guess, but I hardly think that the transition to independence from the EU is welcome by Brussels since having the UK in the mix is a big plus to the plunderers.
Let’s face it … Rajoy is completely indestructible. He is one of life’s cockroaches. This punch would have killed most people; Rajoy didn’t even buckle https://youtu.be/JoHYKhNuke8 I’m convinced his head and brain are made of solid concrete.
Well, our (now ex) chancellor cut corporation tax a day or so ago, so this is music to my ears. However, in his farewell tweet Osborne had the gall to say “Others will judge – I hope I’ve left the economy in a better state than I found it.” …
http://www.economicshelp.org/wp-content/uploads/2016/01/uk-debt-since-95.png
Err No!
… and some “under the table money” from King Obama with a triple wink.
Mish — did you see the reports from France that Francois Hollande spends $11,000 of French tax payer money PER MONTH, on a personal hair dresser?
Fines to make profligate bankrupt states semi-solvent again is an interesting concept. EU might be onto something, this idea of beating financial deadbeats with a big stick. What applies to the Nominal Nation-States could also be applied with Equality to Individuals to induce Financial Solvency.
The EU could levy similar monetary fines on low income workers, student loan deadbeats and welfare recipients until they get their financial act together, reduce debt levels and become upper income taxpayers. In times past, this was called paying “tribute.”
There are, of course, other options. The EU could officially became a Comedy Reality TV Show with sponsors, and everybody could get rich. I foresee decades of entertainment ahead, if the EU survives.