At EUR 4.5 billion the meaures of the bill

At EUR 4.5 billion the meaures of the bill

Athens, July 15, 2015/ Independent Balkan News Agency

By Spiros Sideris

Charges of around EUR 3.6 billion brings the bill with the measures which has been tabled in Parliament. If one adds the more than EUR 850 million pensioners will lose from their income due to the introduction of a new levy, then the total amount of the bill sums up to over EUR 4 billion. As stated in the report of the General Accounting Office, the bill brings the following measures:

Adjustment of dozens of VAT rates, which aim to bring additional revenue of EUR 2.39 billion (of which EUR 795 million in 2015). What stands out is the VAT on all tuition centers at all levels of education and foreign languages, the increase in VAT in restaurants (23%) and hotels (13%) and the transfer range of products and services from 13% today to 23%.

The state is expected to collect EUR 410 million from increasing the tax on legal entities (pp the coefficient adjusted from 26% to 29%).

EUR 75.6 million will come from the increased tax on insurance contracts. The increase concerns fire insurance (the rate rises to 25%) and car (pp the rate goes to 15%).

EUR 48.5 million will be paid by yacht owners – there will be a luxury tax, 13% in vessels over five meters, while the tax increases in private cars of over 2500 cc and the pools.

EUR 251 million will come from the increase in the special solidarity levy rates for incomes over 30,000 euros.

The increase in advance tax for legal entities (pp 80% goes 100% for large companies and 75% from 55% for the other) is planned to provide just for the first year EUR 445 million.

There will also be a significant charge for pensioners as a contribution to health, which will cost EUR 854 million, of which EUR 422 million will be given in 2015. Also, with the new way of calculating pensions (ss no minimum guaranteed pension is given before reaching the 67th year of age), there are planned savings of EUR 4.2 million for 2015, EUR 25.7 million for 2016, EUR 42.87 million euros in 2017 and EUR 60 million for 2018. Finally, EUR 16 million will be saved from the adjustment of administered supplementary pensions, due to the accession funds and supplementary pension sectors in the EBRD.