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New taxes to be aimed at the middle class again

09 December 2012 / 14:12:50  GRReporter
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- Families with children, with a total family income amounting to between 21,000 and 25,000 euro depending on the number of children;

- Small property owners who will lose their tax-free minimum and will be taxed from the first euro by a factor of 10% for incomes of up to 12,000 euro from rents.

The new tax scale for workers who are employed under a labour contract and the retired will include 3 factors (from 8 currently existing). For incomes of up to 25,000 euro, the tax rate will be 21%; for incomes between 25,001 and 40,000 euro, the tax rate will be 36%; and for incomes of over 40,000 euro, the tax rate will be 40%.

There will be a 1,950 euro reduction of tax for incomes of up to 18,000 euro, provided that all the necessary receipts are collected. It should be noted that for incomes exceeding 18,000 but up to 29,000 euro, the reduction will be by 50 euro less for each 1,000 euro. And for incomes above 29,000 euro, the reduction will be by 100 euro less for each 1,000 euro, until it reaches zero for incomes above 42,000 euro.

The possibility of introducing additional incentives to collect receipts from specific services is also being considered, in order to prevent tax evasion. Only the introduction of such a tax reduction for receipts can confirm the words of representatives of the Ministry of Finance, who argue that tax changes favour those employed under a labour contract and pensioners with incomes of up to 9,000 euro, since, in practice, this income will be tax-free - the tax due will be covered by the 1,950 euro in question.

Tags: Yiannis Stournaras tax bill scale factor family allowances
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