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Greece evaluates tax incentives for electronic payments
The Greek economic team is evaluating the future of two tax incentives for electronic payments that are set to expire on December 31. These measures were introduced in 2022 to combat tax evasion and encourage digital transactions in sectors with high risks of undeclared income.
The first measure allows taxpayers to deduct 30% of electronic payments made to 20 specific professional categories from their taxable income, with an annual cap of 5,000 euros. Eligible professions include lawyers, plumbers, electricians, hairdressers, and taxi drivers, among others. The second measure provides a double bonus for electronic payments made for medical, dental, and veterinary services, counting them at twice their value toward the mandatory electronic receipt threshold.
Decision-makers will assess the effectiveness of these incentives by analyzing electronic transaction data since 2022, the reduction in the VAT gap, and the potential for further tax evasion prevention. While the Bank of Greece has advocated for maintaining or expanding these incentives to boost tax revenue, the government will decide whether to extend, modify, or abolish them.
Entities
Athens Chamber of Commerce and Industry · Bank of Greece · Greece · Independent Authority for Public Revenue · Ministry of National Economy and Finance
Claims
What the coverage asserts, and how many sources carry each claim.
- [● 2 SOURCES] The goal of the measures is to reduce cash usage, increase transaction transparency, and limit tax evasion. dete.gr · www.insider.gr
- [● 3 SOURCES] A second incentive counts medical, dental, and veterinary expenses at double their value toward the mandatory electronic receipt threshold. dete.gr · www.insider.gr · www.ot.gr
- [● 3 SOURCES] The current tax incentives are set to expire on December 31. dete.gr · www.insider.gr · www.ot.gr
- [● 3 SOURCES] One tax incentive allows for a 30% deduction of electronic payments made to specific professional categories from taxable income. dete.gr · www.insider.gr · www.ot.gr
- [● 3 SOURCES] The annual deduction from taxable income for these electronic payments is capped at 5,000 euros. dete.gr · www.insider.gr · www.ot.gr
- [● 3 SOURCES] The Greek economic team is evaluating two tax incentives for electronic payments to decide on extensions or modifications. dete.gr · www.insider.gr · www.ot.gr