What it is
Spain's 1995 state budget: spending, taxes and pensions
BOE step 7 of 7 · PassedIt is a government bill. Introduced by the Government. It was introduced on 29 September 1994. Introduced by: Gobierno.
Official title: Government bill on the General State Budget for 1995.
Source: Congreso de los Diputados, file 121/000067· updated 11 Nov
Automatic summary, not yet reviewed
- The 1995 budgets of the State and its agencies are approved, with spending credits of 28,770,692,534 thousand pesetas, funded by expected revenues and by net borrowing.
- Pay for public sector staff, both civil servants and labor contract employees, may not rise more than 3.5% compared with 1994, effective January 1, 1995.
- Public pensions under passive classes and contributory Social Security rise by 3.5% on average in 1995. Non-contributory pensions are set at 34,070 pesetas a month, plus two extra payments.
- A cap on public pensions is kept in place: 265,322 gross pesetas a month, that is, 3,714,508 pesetas a year counting all of a person's pensions.
- For personal income tax The personal income tax (IRPF in Spain): what people pay on what they earn from work, business or savings., the individual and joint tax scales and the family and personal deductions are updated to adjust the tax for inflation.
- Under the wealth tax, the exempt minimum rises from 15 to 17 million pesetas, and the tax scale and the duty to file a return are updated.
- The general VAT rate goes up to 16% and the reduced rate to 7%. Services such as passenger transport or hotels and restaurants stay at the reduced rate.
- Social Security contributions are reduced: the workplace accident premium scale is applied with a 10% cut, offset by a larger contribution from the State.
Who it affects
- Civil servants and public sector labor contract employees: Their pay may not grow more than 3.5% in 1995.
- Recipients of passive class and Social Security pensions: Their pensions rise 3.5% on average, with a cap of 3,714,508 pesetas a year.
- Taxpayers under income tax, wealth tax and VAT: Scales, deductions and exempt minimums are updated, and VAT rates change.
- Companies and workers paying into Social Security: Workplace accident premiums are cut and 1995 contribution bases and rates are set.
- Autonomous Communities and local corporations: Their percentages of participation in State revenues and taxes are set.
Words worth knowing
- Clases Pasivas (passive classes)
- The pension system for former State civil servants, managed directly by the State.
- Deflactar (to deflate)
- Updating tax figures (scales, deductions) to offset the effect of inflation.
- Créditos ampliables (expandable credits)
- Budget lines that can be increased during the year if more funds are needed for their purpose.
- Masa salarial (payroll mass)
- The total pay of an agency's labor contract staff, used as a cap for wage increases.
- Beneficios fiscales (tax benefits)
- Revenue the State gives up through exemptions, deductions and rebates in taxes.
- income tax
- The personal income tax (IRPF in Spain): what people pay on what they earn from work, business or savings.
It summarizes the law as published in the BOE. It is written by artificial intelligence and may contain mistakes: the official text is what counts. Read the official text · How we make summaries
Where it stands
How far did it get?
It took 7 of 7 steps. It reached BOE, and today it is passed.
- Introduced29 September 1994Someone registers the text in the Congreso.
- Admitted29 September 1994The Bureau of the Congreso accepts it and, for a members’ bill, the plenary decides whether to consider it.
- Amendmentsno dateGroups propose changes.
- Committeeno dateA committee goes through the text in detail.
- Plenaryno dateAll 350 deputies vote.
- Senateno dateThe Senate can pass it, amend it or veto it.
- BOEno dateIt is published in the Official State Gazette (BOE) and comes into force.
See the 2 official steps on a timeline
Was there a plenary vote?
We have no plenary vote linked to this law in the Congreso’s data.
What happens next
What happens now?
It is law, or will be once published in the BOE. It comes into force on the date its own text sets.
The same initiative in the other chamber:
- V Legislature, Senate Government bill on the General State Budgets for 1995
Published in the BOE: Law 41/1994, of December 30, on the General State Budget for 1995.
Sources
Where does all this come from?
- Congreso de los Diputados, file 121/000067
Official title, type, author, dates and stage.
Retrieved 11 November 2026
- BOE, BOE-A-1994-28967
The law as published.
Retrieved 11 November 2026
- The data comes from the open files of the Congreso, the Senate and the BOE, unaltered.
- Each deputy’s province is the one of their seat on the day of the vote.
- We only say “passed” or “rejected” when the majority needed is certain; otherwise we say which side had more votes.