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Valencia Council Approves 2026 Tax Ordinances, Extending Cuts as Opposition Flags Offsetting Hikes

City leaders present the plan as sustained tax relief with added social measures.

Overview

  • The package passed with votes from the governing team and opposition abstentions at the September plenary session.
  • Officials say the ordinances maintain the 2024 tax cut worth €52.4 million annually, including a 20% IBI rate reduction and expanded large-family relief.
  • Measures include a 95% inheritance-related plusvalía exemption, lower vehicle tax, and a 50% reduction in the sewer and pumping station fee.
  • Social and administrative changes add free home-help services, temporary water and sewer exemptions for flood‑hit southern districts, eased guarantees for tax deferrals, a scrapped police report copy fee, and updated disability terminology.
  • Investment incentives grant a 95% ICIO bonus for tech projects and a 75% IBI break for municipal sports concessions, while PSPV and Compromís argue planned ICIO and waste fee increases under an adjustment plan will blunt the relief.