An increase in the tax rate limits by 3% and a reduction in the rates of the first five groups was approved this Monday in the vote on the state budget 2024 (OE2024).
According to the update of the levels approved this Monday, starting in January, the limit of the first group of taxable income increases from 7,479 euros to 7,703 euros, and the rate decreases from the current 14.5% to 13.25%.
However, the largest reduction in rates occurs in the second and third income groups (by 3 and 3.5 percentage points, respectively).
In practice, updating the taxable income limits will ensure that a wage increase of up to 3% will not result in a tax increase in 2024.
In the OE2024 presentation in October, the Treasury Secretary mentioned that the income tax tables that take effect in January will be designed to take into account the new IRS bracket design.
Several opposition parties had proposals to change their compositions, but they were rejected.
On this third day of specialty voting, deputies of the Budget and Finance Committee also approved an increase in the value of income exempt from the IRS (minimum subsistence), which will increase to 11,480 euros in 2024, according to the state budget proposal. for 2024, which was presented to Parliament this Monday.
This increase means that the cost of the national minimum wage will continue to be maintained within the existing minimum, which will increase to €820 in 2024.