Spain's tax wedge and housing crisis spark November 11 strike

Tax wedge tops 40% while housing market bleeds

The call for a strike on November 11 does not come out of nowhere. It stems from a combination: a tax wedge that already exceeds 40% according to data circulating in public debate, a housing plan modified by the government at the last minute to reserve the right to hide aid for those facing eviction, and a stream of reports about the Treasury eroding any credibility of the official narrative. The result is a mix that angers even the most calm.

Tax burden doesn't match salaries

The key concept is the tax burden, which measures pressure relative to income. It is not the same to bear a 45% burden earning one thousand euros —and being left with 500 to live on— than bearing it while earning three thousand. In Spain, according to calculations circulating in the debate, we are in the first case. And on top of that, with increasingly worse services.

Headlines pile up: taxes on labor in Spain are higher than in Denmark or Norway; the OECD reveals fiscal mistreatment of families where both members work; the tax effort of a Spaniard is almost 50% higher than that of a German; and the tax burden on Spanish workers is 60% greater than in the US. The international comparison leaves no room for doubt.

Housing as an excuse

The government modifies its housing plan at the last minute and now reserves the right to hide aid for those facing eviction. This decision contrasts with the commitment made by the minister herself during the plan's presentation, when she defended the importance of sharing data between administrations and showing it "with transparency." The contradiction is so glaring it needs no adjectives.

To this are added reports about Sánchez's brother —shock among Treasury inspectors—, about a Tax Agency at the service of Aldama and Koldo, about Ábalos and his undeclared property in Peru, and about Sánchez's brother-in-law and his 16 million in deductions. All this creates a landscape where the word "Treasury" sounds like a mockery.

November 11 strike: solution or gesture?

The November 11 call is presented as the only possible response to what is perceived as a continuous hoax. Some argue there is only one solution: ruin and destruction of the current system. Others point out that the right would do the same "for two, so you can enjoy it more and better." Skepticism is widespread.

The complete calculation, broken down item by item, shows a surprising difference. But that is material for another analysis.