Local businesses in the province of Castellón are going through a critical period. Clothing stores, haberdasheries, and bakeries, among other businesses, are gradually disappearing, not only due to new consumption patterns but also because of the high tax and administrative burden. According to Social Security data, Castellón closed 2025 with 9,730 self-employed individuals in the commercial sector, 104 fewer than in December 2024.
“"We work to pay."
Confecomerç, the confederation that groups the sector in Castellón, Alicante, and Valencia, has denounced the impact of this situation. Following the executive committee meeting on Wednesday, the organization warned that the current context, marked by rising costs, economic uncertainty, and a high tax burden, is jeopardizing the continuity of many activities. State tax obligations, regional taxes, and municipal fees, along with administrative complexity, disproportionately affect self-employed individuals and small businesses, who have limited economic capacity and management margins.
One of the key points of Confecomerç's complaint is the increase in taxes. According to Tax Agency data from 2024, self-employed individuals paid an average IRPF rate of 21.73% on profits, while SMEs faced 17.31% in Corporate Tax. Over the last seven years, self-employed individuals have seen their average rate increase by 25%, compared to 3% for SMEs. This situation is largely due to inflation and the non-deflation of the state bracket of the IRPF.
“"The conclusion is that everything is increasing in a sector that is not at all buoyant. The weight of our sector is extremely important, and we need the administration to react before it's too late."
Commerce represents 11.4% of the GDP of the Valencian Community. To reverse this trend, Confecomerç advocates for regional taxation adapted to small businesses, flexibility and liquidity support, reduction of administrative burdens and fees, and a boost to local commerce. However, they point out that it is the Central Government that has jurisdiction over taxation and can correct the current situation.




