These are cases in which the Treasury can confiscate the money from your bank account
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The main task of the Tax Agency is to collect taxes to cover basic social services such as health or education. This is done through taxes to citizens, obliged by their condition to satisfy them.
But what happens in the event that citizens do not pay these taxes? The Treasury has many weapons to collect its debts and one of them, although it may seem very forceful, is to seize the income of those citizens who have amounts pending payment.
The Civil Procedure Law explains in its article 607 (You can check it out at this link) that Treasury cannot seize “the salary, salary, pension, remuneration or its equivalent, which does not exceed the amount indicated for the minimum interprofessional salary”. In 2024 this amount is 1,134 gross euros per month in 14 payments.
However, based on this amount, which is considered the minimum to guarantee that the citizen can cover their basic needs, different embargo percentages are determined on income brackets:
- The section between the SMI and double the SMI has a 30% embargo.
- The section between double and triple the SMI has a 50% embargo.
- The section between triple and quadruple the SMI has an embargo of 60%.
- The section between quadruple and quintuple of the SMI has a 75% embargo.
- Amounts from five times the SMI have a 90% embargo.
How the Treasury seizes money from a checking account
The operation of these seizures by the Treasury is similar to the income tax brackets: the percentages only apply to specific amounts and not to the total income. The more income, yes, the more embargo.
Let’s take the example of a person who earns 2,500 euros per month. The first 1,134 euros are exempt from embargo, since they correspond to the SMI, but the following 1,134 have a 30% embargo (340.20 euros) and the remaining 232 euros have a 50% embargo (116 euros).
Thus, a person who earns 2,500 euros per month will have a lien of 456.20 euros per month. This figure is 18.2% of the citizen’s total income.
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