Tax “safari” to avoid new measures and layoffs from troika
06.03.2013
10:18
Finance minister Yannis Stournaras attempts to show that the tax collection mechanism works properly to prevent additional pressure for new measures (taxes, wage cuts and layoffs in the public sector) at the meeting with troika, this morning in his office. IMF envoy Poul Thomsen will be present at the meeting, after his absence from the first one last Sunday.
Finance minister Yannis Stournaras attempts to show that the tax collection mechanism works properly to prevent additional pressure for new measures (taxes, wage cuts and layoffs in the public sector) at the meeting with troika, this morning in his office. IMF envoy Poul Thomsen will be present at the meeting, after his absence from the first one last Sunday.
For the time being it seems the Greek government avoided the worst with layoffs in the public sector after the meeting between the auditors and Administrative Reform minister Antonis Manitakis as the first said they will study the data and the arguments of the Greek side.
Stournaras is expected to agree with Manitakis’ argument that the last 15 months have seen a total of 75,000 employees leave and that the target for reduction of civil servants by 150,000 by 2015 can be met without layoffs. But the auditors will require the setting of quarterly targets of compulsory redundancies until the end of 2014.
Stournaras is also expected to raise the issue of reducing the rate of VAT in catering, from 13% to 23%.
Intensification of audits in February
To cover the shortfalls in the first two months of 2013, Stournaras has announced massive screenings of tax returns for taxmen and customs officials of the ministry, and has produced some extra powers to the independent Public Revenue Secretary, after intense requests from the troika auditors.
The goal now is to immediately complete:
- 34 regular audits on large companies and a total of 330 by July, from just 4 in January
- 88 temporary controls on big business and a total of 350 by July, from just 24 in January
- 105 audits to self-employed and people of great wealth and a total of 1,200 by July, from just 33 in January.
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