BUSINESS

VAT hike, debt payment plans helped revenues stay afloat in June

PROKOPIS HATZINIKOLAOU

TAGS: Finance

The positive course of tax revenues continued in June, according to Finance Ministry provisional figures released on Tuesday, as they exceeded the budget target by 101 million euros, or 2.58 percent.

Ministry officials attribute the result of 4.01 billion euros, compared to a target of 3.91 billion, to two main reasons. The first concerns the revenues flowing into state coffers from the inspection of major tax cases, as many debtors have rushed to enter 12- or 24-month payment plans.

The second is related to the revenues from indirect taxation collected from the country’s main cities, where tax evasion is not as big as in other parts of Greece. Also bear in mind that the main value-added tax rate went up from 23 to 24 percent on June 1.

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