Rajoy reveals new 2,500 € cash limit on all business transactions in Spain

Speaking at the debate on the budget and the cuts which is taking place in the Control Session of Congress today, Mariano Rajoy has revealed that business operations larger than 2,500 € will no longer be allowed in cash. It applies when there is a payment in which at least one businessman is involved. Those businessmen who break this new regulation could accumulate fines of 25% of the quantities paid. The measure is designed to stop the use of ‘black money’ in commercial operations, and in the case of companies, put another obstacle in the use of false facturas. The Government hopes to collect an additional 8.1 billion this year with the measure. Rajoy also said the plan against fiscal fraud would be approved this Friday and the cash limit would be part of that legislation. After avoiding the journalists in the Senate yesterday by escaping through the garage, today Rajoy faced the pack.