Spain’s Tax Freedom Day fell on August 20 this year, according to Fundación Civismo, meaning the average worker had theoretically earned enough income by that date to cover their annual tax and social security burden.

The Spanish liberal think tank estimates that the average worker spends 231 days of the year covering taxes and social contributions in 2026, two more days than last year. The figure has risen sharply since 2018, when Fundación Civismo calculated that Tax Freedom Day fell on June 27 after 177 days.

That represents a shift of 54 days over eight years.

Fundación Civismo attributed the change to several factors, including income tax brackets that have not kept pace with inflation, higher social security contributions, the restoration of some higher VAT rates and additional regional and municipal taxes.

The organization calculates the tax burden by considering the total cost of employing a typical worker. Its reference example involves an employee earning a gross annual salary of €32,446. Including employer contributions, the worker costs the company €42,390.70.

Of that amount, the employee is estimated to receive €24,724.91 in take-home pay. About €17,665.79, representing 41.7 percent of the total employment cost, goes toward income tax and employee and employer social security contributions.

The calculation means that workers receive approximately €58.30 for every €100 spent by an employer on their employment.

The foundation also argues that inflation can increase the effective tax burden even when workers experience little real wage growth. When tax brackets remain unchanged while salaries rise, employees can move into higher tax bands without experiencing a comparable improvement in purchasing power.

VAT adds another significant cost. Fundación Civismo estimates that the average worker pays around €2,213 a year in VAT, equivalent to almost 33 days of net income.

The study also counts local property tax, vehicle taxes, inheritance and gift taxes and other charges under what it calls “silent taxation”. These are estimated at about €4,110 a year, representing more than two months of the model worker’s net income.

Tax Freedom Day differs across Spain’s autonomous communities because of variations in regional income taxes, deductions and local charges. The Basque Country recorded the earliest date at August 14, followed by Madrid on August 15. Catalonia and Extremadura had the latest dates, both on August 26.

However, Tax Freedom Day is not an official government indicator. Critics argue that the calculation treats taxes purely as a cost without accounting for public services such as healthcare, education and pensions.

Spain’s official tax-to-GDP ratio stood at about 38 percent in 2025, according to Eurostat data cited in the report, compared with 35.2 percent in 2019.

Bitcoin surged above $79,500 on Friday, marking its strongest level in months as traders rushed to close bearish positions and signals from Washington pointed to easier financial conditions and stronger support for the cryptocurrency industry.

The world’s largest cryptocurrency reached an intraday high of $79,500 before retreating to around $77,700. The move left Bitcoin more than 25% higher than it was at the start of the week, making it one of the digital asset’s sharpest weekly rallies in years.

Bitcoin had spent much of 2026 struggling to regain momentum after falling from its record high of about $126,000 reached in October last year. The cryptocurrency dropped to roughly $57,600 in early July and then traded in a narrow range between $62,000 and $66,000 for six consecutive weeks.

The prolonged weakness encouraged traders to increase bets that Bitcoin would fall further. Once the cryptocurrency broke above its recent trading range this week, those positions were rapidly unwound, creating a wave of forced short covering that accelerated the price increase.

Ether, the second-largest cryptocurrency, and other digital assets also gained as traders moved back into riskier assets.

Market momentum was strengthened by signs of additional liquidity from the US Treasury. The department doubled the size of its bond buybacks earlier this week in an effort to ease pressure in the Treasury market. When bond yields rose again, Treasury Secretary Scott Bessent said on Thursday that the government could increase the buybacks further.

Lower borrowing costs, improved liquidity and a weaker dollar can encourage investors to put more money into assets considered riskier, including cryptocurrencies.

Regulatory developments in Washington also supported the rally. On Tuesday, the US Securities and Exchange Commission proposed “Regulation Crypto Assets”, which would introduce lighter registration requirements for some cryptocurrency issuers.

President Donald Trump added to the industry’s optimism when he hosted several major crypto executives at the White House on Wednesday. Among those attending were Coinbase Chief Executive Brian Armstrong, Ripple Chief Executive Brad Garlinghouse and Gemini founders Cameron and Tyler Winklevoss.

Trump urged lawmakers to approve the long-delayed Digital Asset Market CLARITY Act. The legislation would divide regulatory responsibility for digital assets between the SEC and the US Commodity Futures Trading Commission. It passed the House last year but remains stalled in the Senate, where it will face a key procedural vote on September 15.

Trump’s comments also sparked a sharp move in Hyperliquid’s HYPE token. He said the CFTC was working to bring the decentralised derivatives exchange onshore in a fully compliant manner.

HYPE jumped about 25% within 24 hours of the remarks and was trading near $74, more than 30% above its level before Trump’s comments. Hyperliquid has become a closely watched example of how far the administration’s more supportive approach to the crypto sector could extend.