Rental income increases more than labor income. How to get out of it

More than on wages, inequalities are opening up between those who own a house and those who don’t, with real estate values ​​varying greatly from city to city. A forgotten problem in the debate on the next fiscal delegation

The increase in rents in cities (especially Milan but not only) offers an opportunity for talk about inequalities and fiscal delegation. Italy has long favored the taxation of savings and housing to the detriment of labour. While we often focus on inequalities in labor income, we forget that individual and above all territorial inequalities accumulate elsewhere. For full-time workers (who are the majority) labor income inequality does not increase, but rather the burden of imputed rental income (for homeowners) and the burden of rental income for those with houses to rent . Inequalities are opening up between homeowners and homeowners, and between homeowners in cities where real estate values ​​are high and those who don’t.. If two families earn the same amount but one owns a house and therefore does not have to pay rent, then that family can devote a much greater part of its income to consumption. Owning your home allows you to have a much higher income for those who have to pay the rent. Obviously even more evident would be the increase in disposable income in the case in which one owns a second rented home compared to those who do not own it.