BUSINESS

Every day sees 730 raids on deposits

PROKOPIS HATZINIKOLAOU

TAGS: Finance

This year’s expired debts to the state reached up to 4.75 billion euros in the first five months of the year, so the tax administration is resorting to confiscations, auctions and lawsuits. On a daily basis the authorities conduct an average of 730 confiscations of salaries, pensions and bank deposits.

Data from the Independent Authority for Public Revenue show that 91,104 confiscations have been made since the start of the year, of which 24,059 were in May. The aim of the IAPR is to further increase the number of confiscations even though the bailout agreement target has already been met.

The confiscations have come in response to corporations and households being unable to meet their obligations due to overtaxation. Finance Ministry officials estimate that the mountain of expired debts will grow in the next few months as the already troubled economic environment will be aggravated further by the summer dues – i.e. income tax and the Single Property Tax (ENFIA).

The same officials say that this year’s expired debts are expected to soar from 4.75 billion at end-May to 12-13 billion euros by the end of 2017. They note, however, that the collection rate of expired debts is likely to jump, citing a figure of more than 4-5 billion euros.

The figures which IAPR issued on Tuesday showed that the sum of old and new expired debts comes to 95.186 billion euros. Of that amount, 90.43 billion comprises old debts, and 4.478 billion arose in the year to May 31. Taxpayers with debts to the state number 3,881,795. Forced measures such as salary and bank deposit confiscations have been imposed on 930,160 debtors, with 91,104 confiscations conducted in the first five months of this year. Forced measures could be imposed on as many as 1.6 million state debtors.

IAPR data processing shows that 2,388,899 enterprises and taxpayers have debts to the state that amount from 1 to 500 euros, for a sum of 340 million euros. More than half a million taxpayers (505,202) owe up to just 10 euros each.

The bulk of debts to the state is owed by 0.1 percent of debtors, or 5,552 taxpayers and enterprises: They owe 76 percent of all state debts, or 72 billion euros.

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