Spanish Council of Ministers Approves Draft Law for 2021 Budget

On 27 October 2020, the Spanish Council of Ministers announced its approval of the draft Law on the General State Budget for 2021, which includes measures for increased tax collection. Some of the main tax measures of the draft law include:

• A 2% increase in personal income tax on income exceeding EUR 300,000 per year (i.e., a 47% tax rate), along with a 3% increase in tax on capital income and savings over EUR 200,000;
• A reduction in the corporate participation exemption on dividends receiv…