The viral photo of PM went viral when he was saying goodbye to his PS adversary. This photograph has sent a wave of relief to citizens who hope the State Budget 2025 will be ready on time. Portugal is in a race against time to come up with the new State Budget 2025 otherwise it will face some financial sanctions.

PM Hopes Parties Come Up With State Budget 2025

PS socialists have stated that they do not want the elections, but the PM urges all parties to work it out among themselves. PS leader is under a lot of stress right now due to the threat of early elections. The news agency has stated:

PS Secretary General Pedro Nuno Santos said today that the country is on the road to the viability of the State Budget and values the approach that has been made by the government, having already presented a counterproposal to the prime minister.

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Nuno Santos had a meeting with the PM at his official residence. He went back to the headquarters of the Socialist Party when he finished his meeting. Nuno went to work on his official statement which was later delivered to the news agency. Pedro gave a bittersweet statement where he praised the efforts taken by the Government. He further stated that there is still some room to improve.

Sociedade Independente de Comunicação (SIC) has stated that the Government is very unlikely to accept the counter proposal sent by Nuno Santos. They believe that this is more like a political power play. All efforts are being made before the final budget will be presented to the parliament on 10 October. They also believe that the statement of Nuno Santos was as follows:

[Satement by Nunos was not all] sweetness and light in the spirit of rapprochement.

Clash Of Opinions Between PS And IRS

The Government wishes to extend the period in which IRS Jovem extends from 5 years to 13 years. This is due to the young people who will be able to take advantage of this. PS has a separate demand for this. They want to run this for 2 years at the start which can be extended to seven years. This extension can occur without any requirement for a new evaluation. PS socialists have said that they will not support a reduction from 21% to 17%. Although this reduction is proposed by the Prime Minister himself. The PS Socialists have come up 3 counteroffers which are as follows:

• Option 1: [Either] There should be no reduction in the corporate income tax for the fiscal year 2025. It should be replaced with an investment tax credit to support the system and make it much better.
• Option 2: [Or] The Government will implement a reduction of 17% for the fiscal year 2026, 2027 and 2028. This can be done with the opposition of the PS party where the party will not vote on the budget for this matter.
• [Or] The PS party will accept the 1% reduction in the fiscal year 2025. This can only be accepted if it is promised there will be no more reductions in the next three years which is until the year 2028. There will be no more reductions in the tax.

There is a meeting planned between the Council of Ministers on Monday. This meeting will discuss the issues leading to the ultimate vote for the State Budget on 10 October. It is very essential that Portugal gets this State Budget 2025 approved so there can be no financial drawbacks for the country.

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