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Rajoy to tax severance pay

Tue 27th Dec 2011

Spain's El Economista daily Newspaper and website has reported how the new Government of Mariano Rajoy's Partido Popular may be about to reform the regulations surrounding the issue of severance pay.

Citing nameless contacts close to the Government, the paper went on to say how it looks inccreasingly likely that changes to the current system may see severence pay taxed when it paid by Employers to sacked workers for periods of 45 days or more.