The Lanzarote Tax Network is beginning to take its first steps after the adhesion of the municipalities of Arrecife, Teguise, Haría and Tinajo, which will delegate their administrative powers and activities to the Cabildo de Lanzarote. This "autonomous and 100% public" body depends on the Island Corporation and its objective is to "offer a better service, greater attention and convenience to taxpayers for the fulfillment of their tax obligations and the payment of some taxes".
Teguise, Haría and Tinajo have already been operating on a pilot basis since March 20 from the Tax Network and Arrecife will do so shortly. Thus, the Cabildo, which described the event as a "historic milestone", is managing the final preparations for the full operation of the body. This "will offer a better service in the processing of tax payments such as IBI, IAE, garbage collection fee, municipal capital gains or vehicle registration tax", according to the Corporation.
The signing of the adhesion agreements of these municipalities to the Lanzarote Tax Network was attended by the president of the Cabildo, Pedro San Ginés, and the Minister of Finance and Contracting, Luis Arráez. This proposal was approved by an absolute majority, without any votes against, in the Plenary of the Corporation. Thus, the president stressed that the project has had "an almost unprecedented political unanimity".
The first in the non-capital islands
San Ginés described the Lanzarote Tax Network as "a very important autonomous body that was born under the principles of efficiency, effectiveness, optimization and modernization of the administration's resources and improvement of services to citizens"; some objectives that are included in the 'Lanzarote Strategy 2020'. The president of the Cabildo, the Minister of Finance and Contracting and the four signing mayors were "very satisfied" with the technical and legal work carried out. In addition, Luis Arráez commented that the Lanzarote Tax Network will be "the first autonomous body for the management of island-wide taxes created in the non-capital islands".
San Ginés congratulated the four mayors, Eva de Anta, Oswaldo Betancort, Marciano Acuña and Jesús Machín. Also to the "technical, legal and Secretariat teams of the Cabildo, town councils and other collaborating administrations that have supported the creation of this body", and to the "councilors who have politically led the initiative since its creation in 2014". This same year the project was also unanimously supported by the Biosphere Reserve Council. He also congratulated the head of the Cabildo's Tax Management Body and manager of the autonomous body, Pilar Zurita.
Likewise, the president of the Corporation apologized to the citizens for any inconvenience that may be caused in this "transitional process of adaptation to the new service", although he comments that "the benefits that will be offered to the citizens in the short-medium term and perceived will be greater than these inconveniences".
Online payment 356 days a year, 24 hours a day
Citizens, according to the Cabildo de Lanzarote, will be able to "manage these payments from any physical or virtual office without having to travel" to each of the municipalities. They will also be "benefited from bonuses of up to 5%, personalized payment plans or "à la carte", installment payments in up to four payments this year and in twelve monthly installments from next year". To this they add the convenience that "they will be able to pay their taxes through credit card, online in the Virtual Office, 365 days a year, 24 hours a day and from anywhere in the world, and/or on the websites of the Town Halls, as well as at the window of certain banking entities". Cash payment is eliminated, "due to legal tax, security and transparency".
The Cabildo also points out the benefits for the town councils, which will be able to count on monthly advances on income, of up to 85% of the collection of the previous year. This, which will be regularized at the end of the year, "will allow them to have monthly liquidity without the need to arrange treasury operations that count as debt". By having greater liquidity, "they will be able to allocate these resources to other actions to improve services and investments in their respective municipalities or even lower these taxes". The Cabildo points out that despite the establishment of the Network, "the town councils will continue to maintain their tax autonomy and will be responsible for establishing, as to date, the public prices and fees that the citizen has to pay for these taxes".
All this is aimed at "improving collection management and enabling the adhering town councils to lower the tax rate of municipal taxes, benefiting citizens in the attention, management and payment of their tax obligations, in order to also improve collection efficiency and effectiveness and especially avoid tax fraud", according to the Island Corporation.