Nuno de Oliveira Garcia analyses the General State Budget for 2025 – Advocatus Magazine

Gómez-Acebo & Pombo’s tax expert partner evaluates the General State Budget 2025 for Advocatus magazine, its positive changes in Corporate Taxation and insufficient reduction of the Tax Burden.

Nuno de Oliveira points out in his contribution to the magazine that the State Budget presents some positive measures for companies, such as the 1% reduction in Corporate Tax and a reduction in autonomous taxes, although the latter are not ambitious enough. Autonomous taxes, which are levied on companies’ expenses regardless of their results, have been criticised for years, and this budget is one of the first to attempt to reduce them. However, Oliveira points out, the reduction is still insufficient, as many of these taxes are no longer justified under the current control of the tax office.

Overall, he concludes, ‘the budget does not meet initial expectations’.
Although there are some signs of fiscal relief, these are more political and symbolic than effective.Financial and special contributions were not revised, and some sectors continue to be taxed selectively or discriminatorily. Moreover, the increase in public spending and the lack of a deeper cut in personal income tax and VAT are worrying signs, which could hinder a real reduction in the tax burden in the future.

Read more

View document