Home » Galicia: School Supplies Tax Break Now Includes Cash Payments

Galicia: School Supplies Tax Break Now Includes Cash Payments

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The Galician regional government, led by President Alfonso Rueda, will allow families to deduct cash payments for school supplies and textbooks from their income tax returns this year. The move comes as a response to an oversight in the initial design of a tax break program that inadvertently excluded families who did not use electronic payment methods.

Rueda announced the forthcoming legislative change following a regional government council meeting. The new law, to be fast-tracked through the Galician Parliament using a single-reading procedure, will retroactively apply a 15% deduction, capped at 105 euros per student, to purchases made in cash between July 1 and December 31, 2025.

The initial program, intended to ease the financial burden on families during the back-to-school season, stipulated that payments must be made electronically. This requirement sparked criticism from families who routinely use cash for such transactions. Rueda acknowledged that the original guidelines “erroneously” assumed all families would utilize cards or electronic transfers.

The Galician government estimates that approximately 60,000 families will benefit from the amended legislation, resulting in an estimated savings of 6.5 million euros. The swift legislative action is intended to ensure the deduction is available before the next income tax filing season begins.

The announcement follows a period of political scrutiny for Rueda, with calls for his resignation following the region’s handling of recent forest fires. Thousands have demanded his resignation, according to reports from El Salto. Rueda and the neighboring region’s president, Barbón, have publicly committed to a joint investigation into the causes of the fires, as reported by La Región.

Separately, Galicia has recently become the site of a new Russian Honorary Consulate, as reported by thediplomatinspain.com. The opening of the consulate has not been linked to the tax break issue or the recent calls for Rueda’s resignation.

The Xunta de Galicia is also currently engaged in a legal dispute with the national government regarding wind energy and dependency issues, having formally presented its case to the Constitutional Court, according to El Economista.

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