Sunday April 26, 2015 Search
Weather | Athens
14o C
09o C
News
Business
Comment
Life
Sports
Community
Survival Guide
Greek Edition
New capital repatriation plan

 Finance Ministry intends to offer incentives for return of undeclared incomes from accounts held abroad

By Prokopis Hatzinikolaou

The issue of repatriating capital derived from undeclared incomes is returning to the negotiating table, as the government intends to present a plan for the return to Greek banks of deposits held abroad to its creditor representatives in September.

The Finance Ministry has prepared various plans since November 2012 that will be submitted for processing to the European Commission’s Task Force for Greece, which will be presented later to the country’s creditors.

Still the troika of lenders – the Commission, the European Central Bank and the International Monetary Fund – have already ruled out any possibility of favorable measures for foreign-account holders. They argue that such a regulation would set a bad precedent as it would lead anyone with undeclared incomes in Greece to take their money out of the country and then repatriate it on favorable terms.

The ministry’s response will rely on the safety clauses created by recent changes in the tax administration. As a top ministry official noted, the monitoring mechanism is now better equipped to pinpoint instances of tax evasion and identify anyone who chooses not to use the favorable regulation for capital repatriation as well as to establish when the undeclared money was deposited abroad.

The plan for the return of capital provides for a small, one-off tax and long-lasting tax exemptions for the funds that return to be used for investment. The aim is to impose a small tax rate to encourage tax evaders to declaring incomes and assets that have been hidden from the authorities, which may be in the form of real estate, shares, bonds, bank deposits, gold, artworks and so on. A previous ministry proposal included a rate of 8 percent. The special regulation will exclude funds deriving from criminal activity or belonging to politicians and others who have held key public office positions.

Anyone who chooses not to repatriate undeclared funds and is traced by the monitoring authorities will face a steep fine and be taxed at the maximum rate. The longer the deposits have remained abroad, the lower the tax rate will be upon their repatriation.

ekathimerini.com , Wednesday May 21, 2014 (22:54)  
Construction material costs slide anew
Navios taps German shipping opportunities
Gov’t eyes state company reserves
Thessaly stores likely to remain closed on first Sunday of spring sales
FM warns against a lose-lose situation [Update]
Germany will have to decide whether it wants to support Greece or make an example of the SYRIZA-led administration, Foreign Minister Nikos Kotzias said on Friday. “Do they want to support us...
PM tries to appease mayors, regional governors over cash bill
Prime Minister Alexis Tsipras met regional governors and mayors over the weekend in a bid to overcome their objections to a decision by the government forcing local authorities to hand over ...
Inside News
WATER POLO
Olympiakos wins Euro crown in women´s water polo
The women’s water polo team of Olympiakos won its first ever LEN Euro League at the Final Four it hosted in Piraeus by beating holder Sabadell from Spain 10-9 in Saturday’s final. After defe...
SOCCER
Rival soccer fan clashes leave man stabbed
One man was stabbed and several others slightly injured as rival Thessaloniki club fans clashed late on Friday at an event held by Aris supporters. Reports from Greece’s second city stated t...
Inside Sports
COMMENTARY
Five years ago
This week marks five years since Greece officially entered a period of crisis when then Prime Minister George Papandreou announced that the country would seek a bailout from the eurozone and...
EDITORIAL
Slippery slope
The extremely divisive language that is currently being used by parliamentary deputies and coalition ministers is both unacceptable and dangerous. It is high time that the tired, old argumen...
Inside Comment
SPONSORED LINK: FinanzNachrichten.de
SPONSORED LINK: BestPrice.gr
 RECENT NEWS
1. Olympiakos wins Euro crown in women´s water polo
2. FM warns against a lose-lose situation [Update]
3. PM tries to appease mayors, regional governors over cash bill
4. Poll: Large majority of Greeks want compromise with lenders
5. Police rescue 69 migrants from Evros River
6. Thessaloniki nanny denies abusing toddler
more news
Today
This Week
1. Five years ago
2. PM tries to appease mayors, regional governors over cash bill
3. Poll: Large majority of Greeks want compromise with lenders
4. FM warns against a lose-lose situation [Update]
5. Greece not playing a game of chicken on debt
6. Slippery slope
Today
This Week
1. Greek government's popularity takes a hit as talks drag on
2. It's up to the Greek government to ensure deal with lenders, says ECB's Coeure
3. Europe's collision course with Greece
4. Leaving the past in the past
5. Denialism
6. The price of compromise
   Find us ...
  ... on
Twitter
     ... on Facebook   
About us  |  Subscriptions  |  Advertising  |  Contact us  |  Athens Plus  |  RSS  |   
Copyright © 2015, H KAΘHMEPINH All Rights Reserved.