Greeks rush through law giving tax amnesties to millions of taxpayers

Discussion in 'Wall St. News' started by ASusilovic, Sep 30, 2010.

  1. Greece’s parliament has pushed through legislation that in effect grants a tax amnesty to millions of citizens, in a move at odds with organisations overseeing the country’s bail-out.

    The law will allow the government to collect about €2bn ($3bn) over the next two years, far short of an estimated backlog of unpaid taxes over the last decade of about €35bn.

    The legislation has provoked sharp criticism, including from members of the governing Socialist party, which pledged when it came to power a year ago to avoid a long-standing practice by governments of agreeing across-the-board tax amnesties every three to four years.

    “The fines [in the legislation] are so small they effectively reward tax evasion . . . So owners of small businesses and self-employed professionals will go on disputing tax claims, hoping for another amnesty,” said George Florides, a Socialist former deputy minister.

    The measure also goes against advice from the “troika” – the European Commission, European Central Bank and the International Monetary Fund – which is monitoring Greece’s progress in meeting targets to reduce its fiscal deficit.

    Officials from the three bodies have warned Greece that one-off measures will not solve the country’s revenue problems, according to people familiar with the discussions.

    Unbelievable. I think I have to sell some Euros...
  2. businessstaxes

    businessstaxes Guest

    these people who owe taxes are broke ,,what is state going to do confiscate and freeze a person s bank accounts confiscate a persons house etc to collect taxes...taxes are based on the persons ability to pay. it's not amnesty they have no choice but to wipeout uncollectable taxes like business with debt collection..the gov't is no different.

  3. zdreg


  4. achilles28



  5. gbos


    Yes sure 35 bn. The 35 bn list for example includes a 2.5 bn fine to a brokerage firm with net assets of less than a million. I will be surprised if they manage to collect 3% of that 35bn.
  6. achilles28


    How about the other 32.5 Billion?
  7. Most of the taxes are owned by companies that do not exist any longer and a good part of the owed amount is penalties. Whoever called it an amnesty is an idiot. This is a desperate attempt to collect taxes. The same law makes it a felony owing taxes to the state.
  8. gbos


    Whoever accepts this settlement, will pay 2% of their revenue as extra taxes for every year. The rest of this amount are fines to bankrupted companies and individuals that not even Jesus himself can collect.
  9. Well, when Italy did something similar earlier this year, they recvd arnd €60bn in back taxes in one fell swoop. Moreover, given that the entities involved declare their assets, there's hope for less tax evasion going fwd.
  10. zdreg


    there is something panglossian in many of your posts.
    #10     Oct 1, 2010