Bill to update 2025 payments to Spanish regions and municipalities

Automatic summary, not yet reviewed

1. The bill would update the advance payments that the common-regime autonomous communities receive during 2025 while the budget is in extension. It would use the tax revenue forecasts used to set the 2025 spending ceiling.
2. The additional amount for January to June would be paid in July, and the rest from September onward. Budget credits would be increased to fund this, including over €2,100 million for the Guarantee Fund.
3. It would set, indefinitely, the criteria for calculating the State tax revenue evolution index in final settlements of local entities' share of State taxes, and how local entities would repay any amounts owed, generally through withholdings over a maximum of three years.
4. It would establish permanent rules for final settlements of municipalities included in the State tax transfer model, municipalities outside it, and provinces, island councils and cabildos, including the special regimes of the Basque Country, Navarre, the Canary Islands, Ceuta and Melilla.
5. It would also update the local entities' advance payments for 2025, with the necessary indexes and reference values, and approve budget credits to fund them. Municipalities would have to provide certifications on their fiscal effort for 2023.
6. The rule would take effect the day after its publication in the Official State Gazette and is issued under the State's exclusive power over General Treasury and State Debt.

Who it affects

• Common-regime autonomous communities: They would receive updated advance payments during 2025, with additional payments in July and from September.
• Municipalities: Rules would apply to their final settlements, and they would have to submit certifications on their fiscal effort.
• Provinces, island councils and cabildos: Permanent rules would govern their final settlements of their share of State taxes.
• Local entities with amounts to repay: They would repay owed amounts through offsets, generally within a maximum of three years.
• Suppliers of territorial administrations: The text justifies the measure to avoid payment delays to suppliers.

Words worth knowing

Entregas a cuenta

Advance payments the State makes to autonomous communities and local entities toward their funding, later adjusted in the final settlement.

Prórroga presupuestaria

Budget extension: no new budget is approved, so the previous one keeps applying.

Cesión de impuestos

Share of State tax revenue transferred to autonomous communities or local entities.

Liquidación definitiva

Final calculation of what each administration is actually owed once real data are known, adjusting what was already paid.

Esfuerzo fiscal

Indicator of how much a municipality collects through its own taxes, used to distribute funds.

It summarizes the text as it was introduced. It is written by artificial intelligence and may contain mistakes: the official text is what counts. Read the official text · How we make summaries