September 23, 2012 ? 1:44 am
Finance ministry confirms plan for tax on freelance workers,?rent income
A high-ranking finance ministry official confirmed reports?that the government is mulling a ?head tax? on freelance workers and?on those with income from rented properties, while stressing that the?proposal has only been discussed and no firm decision has yet been made.
The ministry said that the measure would form part of a more general?taxation reform to boost tax revenues by two billion euro, as envisaged?in the Memorandum for the second bailout programme signed in March.
By?this means, ministry officials and the EU-IMF troika hope to ?catch??the groups that are chiefly suspected of extensive tax evasion, such?as freelance workers, single-person businesses, those with income from?rents and those with income from farming that do not declare farming?as their main occupation.
The aim is that these groups will be the main?source of increased tax revenue.
Reports of a plan to impose a ?head tax? of 150 euro was leaked from?sources in the PASOK party earlier this week, who said it was brought up?during a meeting between the three party leaders supporting the coalition?government.
The same sources said that PASOK leader Evangelos Venizelos is?strenuously opposed to the proposed measure as ?unfair? and ?horizontal??and a ?disastrous choice for the prospect of a National Taxation Plan??that PASOK wants to see implemented right away.
They also claimed that the eight billion euro segment of the package?arising from cuts to pay, pensions and benefits also includes the?estimated income revenue from an increase in the age of retirement to 67.
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