“Reducing the tax burden on households and businesses has been a central priority of the Government since the beginning of its term,” Finance Minister Christos Staikouras said in a statement to APE-MPE.
At the same time, he states that “in 2022, the permanent tax reliefs we have introduced are absolutely valid: reductions in ENFIA, personal income tax, corporate income tax, tax advance, withholding tax on dividends, tax on agricultural schemes, insurance contributions “donations for first degree relatives, for real estate and movable securities, which concerns values ​​up to 800,000 euros”.
The Ministry of Finance has started the discussion for the permanence of the tax reliefs that are valid for 2022, such as the reduced VAT on catering, transport, the tourist package, etc., the “freezing” of the solidarity contribution in the private sector and the reduction of insurance contributions.
However, for this to happen, the fiscal conditions must allow it, something that is also confirmed by the Minister of Finance. additional reduction of the insurance contributions of the employees of the private sector by 3 percentage points, the further overall reduction of ENFIA, the reduction of the mobile subscriber fee and its abolition for young people up to 29 years old, as well as the extension of reduced VAT rates on a range of products and services (transport, coffee, soft drinks, cinemas, tour package, gyms and dance schools).
We have proved that we are a Government that reduces taxes and our goal is to continue to do so. “Depending on the fiscal space that is created, in the future we will proceed with new tax cuts, further enhancing the disposable income of the citizens”.
As far as the solidarity contribution is concerned, the main aim of the government is, on the one hand, to make its abolition permanent and, on the other hand, to include it among the civil servants and retirees who are currently excluded from the “freeze”.
In addition to the solidarity contribution to the financial staff, they will seek to consolidate the reduced rates for the insurance contributions that have been in force since last year.
There will be two factors that will determine the implementation of this government intention. One has to do with the new fiscal rules that will apply in 2023, as they will be decided at the level of the Eurozone, but also the resulting fiscal space which should be permanent, since these will be permanent measures.
The next axis in which the government effort will move, is the maintenance of reduced VAT rates in specific categories of products and services.
The measure of reduced VAT rates from 24% to 13% in these sectors has been extended until June 2022.
Preparations have already begun in this direction and according to the relevant information, the atmosphere that exists in the discussions with the lenders is a good way and apart from the shocking unexpected, the developments will be positive.
If this happens, many companies in the industries that will apply the measure will be given life, which have been particularly affected by the pandemic and the restrictive measures. The catering industry in particular is pushing for a reduction in VAT, noting that it has suffered heavy turnover losses due to the measures.
The six-month extension of the reduced rates from July 2022 until the end of the same year and the plan to perpetuate the low rates concern:
Ø Transport: The reduced VAT covers tickets for trains, metro and trams, with city and intercity buses, air and ferry tickets, as well as transport by combination of road, air and sea.
Ø Catering: The reduced VAT of 13% applies to coffee, beverages (tea, chocolate, etc.) and non-alcoholic beverages served by catering companies.
ΚÎτο Tourist package: In the accommodation invoice 13% VAT is charged for breakfast or half board. For accommodation With full board only 5% of the single price is subject to the normal VAT rate of 24%. The remaining 95% is charged with 13%. For accommodation With the all-inclusive system at 90% of the single price VAT is reduced with a reduced rate (13%). Entities in the tourism market, including catering, have even spoken out in favor of a 10% VAT rate, which they believe will make the country more competitive.
Ø Culture: The 13% reduced VAT regime will remain on cinema tickets.
Finally, it should be noted that depending on the fiscal space that will be created at the end of the year, the maintenance of the reduced 13% VAT for gyms and dance schools will be considered, which according to the current legal regime is valid until June 30, 2022.
Follow Skai.gr on Google News
and be the first to know all the news
.
