He Inheritance tax and donations has been the star protagonist of fiscal policy in the Valencian Community last year, after the popular Carlos Mazón turned its suppression into one of his electoral promises and one of the first announcements after winning the elections and reaching the Palau de la Generalitat.
The decision of the Government of Carlos Mazón to suppress a part of the income from the Inheritance and Donation Tax by subsidizing it for the most direct relatives, however, has not meant that the Valencian Treasury has lowered its guard in combat tax fraud through companies in this tax.
Much of the inspection efforts of the Valencian Tax Agency, the body in charge of managing and collecting regional taxes, focused on inspecting and investigating these possible irregular practices through companies and holdings. According to the entity itself, last year recovered almost 28 million euros of income that corresponded to the Inheritance and Donation Tax for actions against tax fraud by its inspection and management departments.
In the spotlight
Precisely in the annual tax control plan for the last year of the Generalitat, surveillance “over the improper application of tax benefits associated with the family business in the scope of the Inheritance and Sonation Tax “, since in addition to affecting that tax “reduces the census of Wealth Tax filers“.
In total, the Valencian Tax Agency managed to recover 110 million euros in 2023 with these actions of its inspection, management and collection departments on the set of taxes over which it has powers. A figure that is 12% lower than the previous year. This decrease was precisely due to a smaller number of procedures than in previous years to focus on more complex files, as explained by the Administration itself.
In fact, the purpose of most of them has been to verify tax benefits in the Inheritance and Donation Tax for the acquisition of stakes or shares in holding entities or business groups, as explained by the Ministry of Finance itself.