Paycheck increases with the flat tax: who benefits with the Giorgetti plan

The Meloni government’s next economic maneuver is taking shape, or rather the proposals are starting to take shape. The issue of salaries is also on the table, with possible increases but not for everyone. The …

Paycheck increases with the flat tax: who benefits with the Giorgetti plan

The Meloni government’s next economic maneuver is taking shape, or rather the proposals are starting to take shape. The issue of salaries is also on the table, with possible increases but not for everyone. The Minister of Economy, Giancarlo Giorgetti, spoke about it. On the sidelines of a party event, he started with an observation: “It is absolute evidence that the salaries of young people entering the world of work are too low.” Hence the possible solution: “We must make a proposal for a tax advantage, which however goes hand in hand with the availability of entrepreneurs”. We understand better how Giorgetti wants to intervene on the pay slips.

What Giorgetti wants to do

Let’s start from what Giorgetti said. “In the last manoeuvre, with great success, we recognized taxation at 5% with the flat tax for all those who renewed their national contracts – he explained -. In my opinion (it should be done, ed.) something similar, by making an agreement with the entrepreneurs who increase the salaries of young people, on these salary increases the State could do something like this, a sort of flat tax”.

So Giorgetti proposes a sort of “pact” between the State and businesses. Employers would have to increase the pay on the pay slip for new hires: in exchange, on the portion of the salary corresponding to the increase, the State would not apply the normal (and higher) Irpef rates in brackets, but a fixed and very low replacement tax (a flat tax).

Banking puzzle

Giorgetti also touched on the topic of banks, but without going too far. The League, Giorgetti’s party, is in favor of an increase in taxation but there is a wall from Forza Italia. “If you introduce elements of competition into the system, you see that some positional incomes and some extra profits are automatically lowered to the benefit of the community”, says the minister.

The most urgent problems

However, the immediate problem to be solved is that of fuel. The latest cut in excise duties on diesel expires tomorrow, Thursday 10 September. In these hours the government is accelerating on the dossier and a new meeting of the Council of Ministers between today and tomorrow to launch the expected new measures cannot be ruled out.