These calculations are part of a set of simulations carried
out by the Ministry of Finance based on the new withholding tax tables that
will be applied between January and June 2023 and those that come into force on
July 1 and include a new withholding model of the tax.
According to the same simulations, a single person without
dependents, with a gross salary of 1,350 euros currently deducts, via the IRS,
219 euros. In January, with the new withholding tables, the tax will drop to
204 euros and from July onwards it will have a new reduction, starting to
deduct 194 euros.
If this person, with these characteristics, has a salary
increase of 5.1% in January (which will increase their salary to 1,419 euros
gross monthly), the IRS withholding tax will be 230 euros between January and
June (resulting in a salary net of tax of 1,189 euros), going down to 213 euros
from July (with the net salary of IRS remaining at 1,204 euros).
A single person with a dependent and a gross salary of 850
euros currently deducts 57 euros from the IRS. In 2023, this taxpayer will have
a relief of 20 euros starting in January, starting to deduct 37 euros. In July,
a new change, with the withholding tax being reduced to one euro.
"Once the new model has been adopted, an increase in
gross salary will always correspond to an improvement in net salary"
contrary to what "was seen in some situations with the current retention
model", says the Ministry of Finance.