Source 123ru.net
Unofficial translation
Tax cuts: This is the government’s plan
The financial staff is preparing scenarios for the measures of the next months and 2021, which are expected to be announced by the Prime Minister in Thessaloniki
“Paper and pencil” have been given to the government and they are planning the tax relief package that the prime minister will announce from the Thessaloniki forum, which replaces the established speech in the context of the canceled Thessaloniki International Fair (TIF), which has been canceled for this year.
The financial staff of the government is preparing scenarios for the measures of the coming months and 2021, which are expected to be announced by the prime minister in Thessaloniki.
Most of the tax package will include temporary measures which can then be made permanent depending on the course of fiscal matters, as no message should be sent to the markets that Greece is deviating from the course of fiscal discipline and prudence.
With this move, the government sends a clear message to the markets and the country’s partners that it is intervening to support the economy, which is affected by the coronavirus, but does not endanger medium-term fiscal discipline.
The package of measures
The package of tax measures that are on the table and are currently being worked out by the government’s financial staff together with the prime minister’s office includes:
– The continuation of the validity of the reduced VAT rates that were introduced at the beginning of the summer in order to give a boost to the tourism sector and the economy in general.
VAT has been reduced until October 31 on passenger transport, all catering beverages (except alcoholic beverages), the tourist package and cinemas. The reduction is seriously being considered until the end of the year.
– The announcement of the reduction of ENFIA in 2021 together with the update of the objective values in the real estates. The update is postponed to the middle of next year and with the resulting fiscal space, the reduction of ENFIA is planned.
– The reduction, even marginal, of the solidarity contribution. The levy is levied on the incomes of more than 12,000 euros of natural persons and the medium-term planning of the government provides for its gradual but complete abolition.
