News Property Torrevieja News Property Tax Freeze Posted on 1st October 2018 4 min read According to the councillor for finance on Torrevieja council, José Hurtado, there is “enough margin” so as to not raise the current property tax rate in the municipality, the IBI, known locally as the SUMA on account of that being the name of the collection agency employed to receive the funds. Therefore, the tax rate for 2019 will be the same as this year, and that, “we will be able to maintain the reduction of 7.5 percent with respect to 2016”, according to the councillor. Explaining the intricate way in which the budgets are calculated in a press conference, the councillor explained that the decline of the IBI is going to be maintained, because there has been an error in the settlement of the 2017 budget, as transferred to the City Council Financial Protection Service of Local entities of the Directorate General of Budgets , dependent of the Ministry of Finance. The error, which Hurtado has described as “minor”, has occurred in the report of the liquidation by the accounting body to record in this 4,490,485 million euros instead of the 4,471,798 million euro that this same body sent to the MIHAC platform (Ministry of Finance). The Consistory will have to make a new Financial Economic Plan with the new figures “that, as we have already pointed out, are more positive for the interests of the City Council and therefore for the citizens”. In the PEF approved on May 22 the figure of noncompliance of the Rule of Expenditure, for 2018, was almost 2.3 million euros, while with the current figures is just over 1.5 million euro, “that allows us to soften the measures we take regarding the subsidies that in the case of NGOs will be able to raise”, added Hurtado. With respect to 2019, with the original data, the breach of the PEF was just over 5 million euro, while now it is almost half, something less than 2.5 million euro. “With this perspective, the Government understands that the IBI should not be rolled back to 2016, that is, it should not be increased. We can maintain the decline of 2018 with which we reached 7.5 percent. The citizens will continue paying in 2019 the same IBI that they have paid this year”. The councillor then explained that in 2017 a family with an IBI of 250 euro saved 10 euro and with the next drop, in 2018, 18.75 euro was saved; a family that paid 500 euros was saved with the first reduction 20 euro and with the second 37.5 euro; while families with an IBI of 1,000 euro saved 40 euro in 2017 and 75 euro in the second year. For each of the cases, the savings reached in 2018 is the same that will be maintained in 2019.