Friday October 31, 2014 Search
Weather | Athens
18o C
13o C
News
Business
Comment
Life
Sports
Community
Survival Guide
Greek Edition
Coalition seeks to heal splits over new tax bill

 Income tax proposal splits coalition, likely forcing Stournaras to find alternative

As Greece briefed eurozone finance ministers on the details of its bond buyback scheme on Monday night, the government appeared ready to climb down on parts of its tax legislation that is causing friction in the three-party coalition.

Finance Minister Yannis Stournaras presented at Monday’s Eurogroup meeting in Brussels the plan for buying back Greek government bonds, which Athens had announced several hours earlier. The Finance Ministry said it would buy back the paper, paying from a minimum of 30.2 to 38.1 percent and a maximum of 32.2 to 40.1 percent of the principal amount, depending on the maturities. The aim is to reduce Greek debt by about 20 billion euros.

At the end of the meeting, Eurogroup chief Jean-Claude Juncker said no further decisions would be taken regarding the release of Greece's next loan tranche until the buyback has been completed. “I would not wish to go into details [of the buyback] at this time,” he said. “We will reconvene on December 13 to finalize our decision.”

However, Juncker said that he was confident Greece would receive approval for its next installment.

Back in Athens, Prime Minister Antonis Samaras summoned Stournaras’s deputy, Giorgos Mavraganis, to a meeting at Maximos Mansion to discuss the proposed new tax code, which the government needs to pass through Parliament in order to reach one of the “milestones” its lenders have demanded before approving the release of more funding early next year.

Coalition partners PASOK and Democratic Left oppose plans to tax annual incomes above 26,000 euros at a rate of 45 percent.

PASOK leader Evangelos Venizelos said this would turn society in its entirety against the government. “People cannot pay this. We need to find alternatives,” said Democratic Left spokesman Andreas Papadopoulos. “There is no way the tax bill will reach Parliament in its current form.”

Stournaras is due to meet representatives of the two parties on Wednesday to discuss the matter. Democratic Left is likely to propose higher taxes on property and deposits as a way of avoiding such high income tax on a relatively low wage bracket.

ekathimerini.com , Monday December 3, 2012 (21:35)  
Ministry swap halts talk of reshuffle as reforms eyed
Turkish-Greek cooperation in Aegean helps stem flow of migrants
Holocaust memorial in Athens vandalized
Turkey raises tensions, insisting on keeping vessel off Cyprus
Disposable income of households fell 10.3 pct in one year
The reduction of Greek households’ disposable incomes in 2013 compared with 2012 amounted to a total of 14 billion euros, the biggest since the start of the crisis according to data released...
Banks unhappy with bad loans bill
Bank officials are expressing serious reservations about the efficiency of the government’s bill regarding nonperforming corporate loans, arguing that the target set by the Development Minis...
Inside Business
BASKETBALL
Spanoulis played Zeus for Olympiakos against Neptunas
Captain Vassilis Spanoulis helped Olympiakos narrowly avoid an upset on Friday as it defeated Euroleague debutant Neptunas Klaipeda 85-81 in overtime in Lithuania to preserve its perfect sta...
BASKETBALL
Obradovic watches Greens thrash his Fenerbahce
The second homecoming of former Panathinaikos coach Zeljko Obradovic, now at Fenerbahce, was not as emotional as last year’s, but it was certainly was the night of an emphatic triumph for th...
Inside Sports
COMMENTARY
The judiciary’s responsibility
The reform efforts over the past few years have begun to bear fruit. Greece has improved its standing in the World Bank’s Doing Business rankings, rising 48 positions from 2010 to 61st place...
EDITORIAL
Findings raise eyebrows
An investigation into money transferred to foreign banks by civil servants since 2010, when Greece’s brutal debt crisis erupted, has come up with some striking findings. The checks, which we...
Inside Comment
SPONSORED LINK: FinanzNachrichten.de
SPONSORED LINK: BestPrice.gr
 RECENT NEWS
1. Spanoulis played Zeus for Olympiakos against Neptunas
2. Disposable income of households fell 10.3 pct in one year
3. Banks unhappy with bad loans bill
4. State debtor numbers grew in September
5. Reform plan among conditions
6. Ministry swap halts talk of reshuffle as reforms eyed
more news
Today
This Week
1. Man shot dead, woman injured in Vathis square attack
2. Archaeologists find underground vault at Amphipolis tomb
3. Cyprus’s Georgiades bets on economy for Irish-style bailout exit
4. Greek retail sales rise for third month in a row
5. Germany’s 10-year bonds decline before euro-area inflation data
6. New defense minister to be appointed without reshuffle
Today
This Week
1. Austria’s creative bookkeeping beats Greece on secret debts
2. End of reason, end of humanity
3. Clean bill of health for Greek banks from stress tests
4. Samaras pledges action after flash floods in Athens
5. Eurobank, National Bank restructurings eliminate capital gap
6. Athens flood damage assessed, compensation payments to begin
   Find us ...
  ... on
Twitter
     ... on Facebook   
About us  |  Subscriptions  |  Advertising  |  Contact us  |  Athens Plus  |  RSS  |   
Copyright © 2014, H KAΘHMEPINH All Rights Reserved.