March 2, 2021

Treasury cuts extra pay to 75,000 pensioners


MADRID

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Some 75,000 pensioners have received their extra pay today with a surprise included. As described by Social Security sources, the retirement benefit paid by the General Treasury has come with an included discount that in some cases can be hundreds of euros due to a change in criteria of the General Directorate of Taxes, dependent on the Treasury, relative discounts for liens against debts with the Tax Agency.

Until now, this body applied lower withholdings for. However, now the Directorate General of Taxes has increased the amounts collected from debtors who received benefits, as a garnishment. In a recent binding consultation with the body, it admits that discounts for embargoes may be deducted from minimum pensions in the corresponding cases. It does not affect pensions below the Minimum Interprofessional Salary (SMI).

For the higher ones, 30% will be deducted from the first additional amount until it is twice the SMI; for the higher ones, it will charge 50% up to the triple threshold of the SMI; in the amounts that exceed this amount, it will retain 60% until reaching amounts that suppose four times the SMI; 75% will be applied for higher amounts, while for amounts greater than five times the SMI, the percentage will be 90%.

However, these percentages had certain discounts applied in certain cases. Several affected have stated that they were unaware of the change in criteria and had not been informed by the Administration, so the new rules have caught them by surprise.

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