Bailout deal brings wave of tax hikes

[unhappycamper]

http://www.ekathimerini.com/200514/article/ekathimerini/business/bailout-deal-brings-wave-of-tax-hikes



Bailout deal brings wave of tax hikes
12.08.2015 : 21:55

A barrage of new tax measures are contained in the new bill presented to Greece’s Parliament as a part of the country’s new memorandum. The bill concerns measures which are to be implemented immediately as well as those to be adopted by October 2015 and in the framework of the 2016 budget.

Pending their vote in Parliament, the measures to be passed immediately include diesel fuel tax for farmers going from 66 euros per 1,000 liters to 200 euros/1,000 liters from October 1, 2015, and to 330 euros by October 1, 2016. Farmers’ income tax to be paid in advance will rise from 27.5 percent to 55 percent. Income tax for farmers is set to rise from 13 to 20 percent for 2016 and to 26 percent for 2017.

Freelancers will be subject to a gradual increase from 55 to 75 percent in advanced tax payments for income earned in 2015, increasing to 100 percent in 2016. The 2 percent tax break for single payments on income tax is also being abolished from January 1, 2015.

Private education, previously untaxed, will be taxed at 23 percent, including the tutoring schools (frontistiria) that most Greeks send their children to but excluding preschools. Reduced value-added tax rates for islands are to be abolished completely by the end of 2016, with enforcement staggered across three groups of islands from October 1, 2015 to January 1, 2017.