Spain's Minimum Wage Tax Debate

Published: 2025-02-17

Spain's government is embroiled in a heated debate over taxing the minimum wage (SMI) for the first time.

The Socialist Party (PSOE) defends the move as a step toward equality, arguing it reflects improved worker conditions.

However, left-wing allies like Sumar and Podemos strongly oppose the tax, calling it unfair for low-income earners.

The controversy has sparked public clashes within the coalition, with accusations of betrayal and "dirty tactics.

" Unions have also expressed dissatisfaction, urging the government to exempt the SMI from taxes.

Despite the turmoil, the PSOE remains firm, framing the tax as a symbol of dignity and contribution to society.

Negotiations are expected as tensions rise within the coalition.