Friday March 27, 2015 Search
Weather | Athens
14o C
09o C
News
Business
Comment
Life
Sports
Community
Survival Guide
Greek Edition
Tax payments eating into deposits

 After a 16.8 pct drop in 2011, account balance is set to drop by a further 10 pct

By Evgenia Tzortzi

Local banks are expecting a further decline in deposits by 10 percent or 17 billion euros within 2012, according to sources, as clients withdraw savings in order to cover their increased tax obligations.

The same sources estimate that some 70 to 80 percent of the outflow from the banking system, which in 2011 amounted to 35.4 billion euros, was channeled into the state coffers through the various tax burdens imposed last year. By contrast, no more than 1 percent of deposits headed abroad.

At the end of 2011 the deposits balance of corporations and households came down to 174.2 billion euros from 209.6 billion at end-2010, posting a 16.8 percent drop on an annual basis. Out of the 174.2 billion euros, 145.4 billion comprised household savings, which had slipped 28.1 billion euros compared to 2010, while corporate deposits amounted to 28.8 billion, down 7.2 billion euros from end-2010. Savings accounts posted a notable 19.9 percent decline on an annual basis.

Bank data point to a fresh outflow of some 2 billion euros in January, as the monthly rise of 1.3 billion in the December balance was deemed temporary and attributed to money gong into accounts due to the Christmas bonus. This quickly evaporated last month, as households paid off their December expenditure conducted through credit cards.

January also saw the deadline for the special property tax paid via electricity bills, while the process of legalizing illegally built houses is set to continue until the end of February.

According to the 2011 state budget execution data, net revenues amounted to 50 billion euros at the end of the year, out of which some 12.8 billion was from income tax receipts, some 1.2 billion from property taxes and 28.6 billion euros from indirect taxes.

Despite the lag observed in the execution of the budget regarding its targets, owing to the deeper-than-anticipated recession, the increase in revenues from a series of new taxes is obvious. For instance, property taxation revenues had come to just 487 million euros in 2010 and almost trebled last year.

ekathimerini.com , Monday February 6, 2012 (21:50)  
Bank deposits lost another 7.6 billion euros last month
Cash concerns keep Athens bourse action tight
Athens among top tourism destinations
High prices weigh on local organic market
ND, PASOK say coalition signed up to tough terms
Former Prime Minister Antonis Samaras on Thursday ratcheted up the rhetoric of the main opposition New Democracy party, which he still leads, in a scathing statement which accused the SYRIZA...
Greek defense minister heads to USA after controversy
Defense Minister Panos Kammenos heads to New York this weekend for Greek Independence Day celebrations after finding himself at the center of a controversy that led to the US Congress failin...
Inside News
BASKETBALL
All is well that ends well for Olympiakos
Young Ioannis Papapetrou helped Olympiakos stage an impressive last-quarter performance to beat visiting Efes Anadolu 86-75 on Thursday and bring its Euroleague losing streak to an end. The ...
BASKETBALL
Reds survive KAO Dramas scare in Piraeus
KAO Dramas gave depleted Olympiakos a scare at the Peace and Friendship Stadium on Monday, but the league leaders eventually managed to get their 20th win in 21 games. The Reds won by 10 (72...
Inside Sports
COMMENTARY
Time to get moving
More than two months have passed since the elections and the government has to stop running around in circles and adopt a program of specific reforms, with detailed calculations as to their ...
COMMENTARY
A competent crew is key
Greek politicians are mostly strangers to technocratic management and deft bargaining. The political system has regrettably unraveled the countrys public administration a process set in m...
Inside Comment
SPONSORED LINK: FinanzNachrichten.de
SPONSORED LINK: BestPrice.gr
RECENT NEWS
1. All is well that ends well for Olympiakos
2. ND, PASOK say coalition signed up to tough terms
3. Greek defense minister heads to USA after controversy
4. Police find Xeross bomb-testing spot
5. Judges send 32 to trial for kickbacks in submarine deal
6. Greek, Chinese FMs discuss deepening countries ties
more news
Today
This Week
1. Greece optimistic on deal with euro area next week
2. Opposition renews calls for minister to resign over legal cases
3. Greek foreign minister explores deepening of ties with China on Beijing visit
4. Stathakis against scrapping tax breaks for islands
5. Fed's Bullard: Grexit would be a Greek issue, not a euro issue
6. New Xeros safe house found near Athens, police say
Today
This Week
1. Next Monday is D-Day for state funds
2. Total victory is unattainable
3. EU asks Greece for more reforms to speed talks on bailout
4. PM faces Merkel amid race to detail reforms
5. New book by ex-US diplomat delves deeper into the recesses of Greek terrorism
6. Some more equal than others
Find us ...
... on
Twitter
... on Facebook
About us  |  Subscriptions  |  Advertising  |  Contact us  |  Athens Plus  |  RSS  |   
Copyright 2015, H KAΘHMEPINH All Rights Reserved.