The Mayor of Calvià, Manuel Onieva, announced this morning that both, taxes and rates will be frozen in the forthcoming year with the aim of supporting and stimulating the economy of the municipality.

The Mayor of Calvià, Manuel Onieva, announced this morning that both, taxes and rates will be frozen in the forthcoming year with the aim of supporting and stimulating the economy of the municipality. As a result of the implemention of this measure, the Calvià Town Hall will cease to collect, only with the Property Tax (IBI), 1.000.000 euros due to the disappearance of the RDL20/2011 with which the interest rate increased a 4% for 2012 and 2013 but the municipal benefits of said tax will continue for 2014. Thus, the citizens, once again, will not see an increase in their bills. From the beginning of the present legislature, the Calvià Town Hall has ceased to collect 8.000.000 euros for this reason, which has meant a considerable effort in the municipal management. Nevertheless, all the municipal services have been kept. Furthermore, a 95% discount in the IBI, ICIO (Tax on Constructions and Facilities) or IAE (Economic Activities Tax) will be applied to those companies creating stable employment in the municipality.

On the other hand, it is established a discount of the 95% of the capital gains tax when the taxable event is for mortis reasons and the usual home, trade premises or transfers of property rights are transmitted to descendents, partners or similar.

In this sense, the municipal responsibles wanted to highlight that, in the municipal budgets's income chapter, there are clear examples of economic recovery in the activity of the municipality. In fact, the collection of capital gains taxes has increased more than expected in the last years which shows that the sale and purchase transactions are increasing considerably in Calvià.

For instance, 5.540.127 euros were estimated for 2012 and the outcome at the end of the year was established in 7.413.773. Up to now, the recognized rights sum up to 7.556.562 euros and the tax year has not finished yet.

The increase of the economic activity is also considerable due to the number of urbanistic files as, depending on the data collected in the report carried out by the Department of Urban Planning, we will close the year with 1548 files in comparison with the 1332 of 2012, a 16% more.

There is also a notable increase in the number of files of minor building permits, building completion permits and issue date certificates. The estimates towards 2014 consider, in this sense, a continuist scenario with a light recovery based on the fact of considering finalised the adjustment of the State property market and also in the increase of the activity related to tourist licenses and the refurbishment of hotel establishments and urban spaces.

The Mayor highlighted that the consistory has been able to freeze its taxes and rates thanks to the clean up of the public accounts working intensively in the reduction and control of the expense through a budgetary control comission which is operational from the beginning of the present legislature and through a Tax Inspection Plan which is offering excellent results.