It is estimated that at present more than 600,000 natural persons engaged in business activity pay a fee
of Chrysostomos Tsoufis
Slowly but steadily, the number of freelancers who are exempt from the fee is increasing.
Following them professionally farmers and coastal fishermenthe artists were added to the list with an amendment submitted to the Parliament, as well as those artisans who closed their books from the beginning of the financial crisis on January 1, 2010 until the entry into force of the amendment, if they return to active action.
They are exempt from the fee for the financial years 2022, 2023 and 2024.
Those who are active in one of the KAD artists or craftsmen – the list of which will be determined later – will see for the same years the fee they pay to fall from 650 € to 400 €.
It is estimated that more than 600,000 individuals doing business are currently paying a fee. They pay € 650 per year regardless of whether they have profits or not and in addition to income tax and an additional € 600 for each branch they may have. For legal entities the fee goes up to 850 € and 1000 € depending on whether they are based in a city with more than 200,000 inhabitants or not.
The abolition of the measure that brings to the public coffers 350 million. euro -gradually- was one of the main aspirations of the government but due to a pandemic it was not possible to move forward. Even the Commission is calling for its abolition as, as it points out in the latest post-memorandum assessment, it discourages investment and increases the tendency for tax evasion.
The abolition of the performance fee may be in the government’s plans even for the new year, but the flagship of its planning – according to the Prime Minister – is none other than the abolition of the solidarity contribution. It is already looking for the fiscal space to abolish it for both retirees and civil servants, something that has been true for the private sector for 2 years now.
Very high in the government’s wishes is the further reduction of corporate taxation ideally to 20% while changes are also being studied in the tax scale of individuals with changes in rates and inclusion of incomes that are currently taxed independently.
In an environment of high inflation in the government plans could not be without the reduction of VAT while the intention is to gradually abolish the presumptions within 2-3 years.
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