Several installments instead of arrest for tax debts

The Finance ministry is processing a plan that will eliminate personal arrest and devastating penalties because of debts. Instead of fines, the taxpayer will be able to settle his debts in several installments, free of fines and surcharges.

The project is expected to come into effect from the beginning of the year and will allow for partial payment of tax liabilities based on the income and assets of the taxpayer and in business cases, depending on the turnover.

The plan includes:

-    elimination of individual financial penalties for the first tax offense
-    deletion of up to 80% of the increments and partial payment of the surcharge, even at 40 installments for taxpayers who will accept the tax mistakes of the past and file a new or additional statement
-    cancellation of forced revenue collection and of criminal prosecutions for those who come to a settling agreement for their liabilities, excluding provocative tax evasion and money laundering cases
-    especially for businesses there will be deletion of increases and fines for overdue debts and tax infringements of the past and partial payment of debts in installments, the number of which will depend on their economic situation, as well as the type and amount of their turnover
-    elimination of criminal prosecutions and imprisonment for debt maturities in excess of 5,000 euros as is the case at present

In cases of intentional fraud, there will be stricter penalties than the ones at present, even including confiscation of personal assets. In addition to criminal and other sanctions, offenders will receive tough fines and penalties on the outstanding tax that will not decrease even if they come to a compromise with the tax services.