Chrysostomos Tsoufis

Huge differences between declared incomes and consumption in Greece – which are not easily explainedeven if they can be explained and of course they are indications of significant tax evasion – show the data announced by Eurostat on family budgets in 2022.

The figures show that the total consumption of Greeks in 2022 reached €154.1 billion. At the same time based on the 2022 tax returns – for the 2021 incomes – €84.2 billion of declared incomes were taxed.

Actually the 2 sizes refer to different years but I don’t think there is anyone who considers that this year we declared, let’s say, €150 billion in income.

The updated figures are expected but should not be significantly higher than €84bn.

Somehow we reach the first conclusion that we consume almost twice as much as we declare.

183% to be exact!!

The question naturally arises as to how Greek taxpayers manage to make ends meet.

The GDP parameter should be added here. The expenditure of Greek households constitutes 74% of the country’s GDP and falls behind as a percentage only those of Croatia.

And we declare much less and consume like there is no tomorrow!

The second big conclusion that emerges is that almost half of the family budget, namely 47.8%, went to food, housing and bills and transport. One unit higher, at 48.9 is the Community average. Specifically :

15.7% of expenditure was on food. Greece is in 9th place. The Romanians (23%) consume the most as a percentage of expenditure and the Irish (7%) the least.

The Community average is just 11.7%.

19.2% in housing and utility bills, roughly 1/5€ that is consumed.

Our country is somewhere in the middle 5 points below the average. The Belgians spent more (25.7%) and the Maltese less (14%).

12.9% in transport. 8th place here although only 0.3 points above the Eurozone average.

Slovenians give the most (17.5%) and Slovaks the least (5.3%).

The third conclusion drawn is that consumption has significantly exceeded the pre-pandemic level.

In 2019, consumption was €139 billion. From last year when consumption was €130 billion, there is an increase of €24 billion, i.e. 18.4%.

Expenditures for food increased by €1.9 billion to €24.1 billion and those for housing and bills by €2.3 billion to 29.5%.

Both categories declined as a percentage of total spending.

Conversely, transfers increased both as a percentage and as an absolute amount by almost €5 billion to €19.8 billion.

Spending on restaurants and hotels also saw a significant increase since in 2022, with no more restrictions, the Greeks…gave and understood. From €17.4 billion, the related expenditure jumped to €24.4 billion.