BUSINESS

Complex measures baffle agencies

PROKOPIS HATZINIKOLAOU

TAGS: Finance

The Finance Ministry has issued clarifications about the suspension of corporations’ tax and social security obligations and the compensation for workers and freelance professionals, as its complex decisions have led to confusion instead of resolving problems.

The ministry’s agencies are not yet in the position to implement all the decisions taken in recent days – with four batches of measures having been announced within the last three weeks – even though some of the deadlines for applications expired Tuesday night and many enterprises and self-employed professionals may find themselves exposed to fines due to errors or misinformation on the part of the agencies.

The majority of enterprises – those included in the list of the ministry based on their activity code numbers (KAD) – will see their tax and social security obligations suspended, while those that choose to pay their dues normally will get a 25 percent discount, although this does not concern value-added tax payments.

There is also a provision for companies shuttered by government decision to have their rent for March reduced by 40 percent, while their landlords will be able to pay their dues to the tax offices by the end of August instead of end-March.

The government’s support measures will also benefit corporations active in the sectors of industry, wholesale commerce and insurance, as well as stockbrokers and auditing companies, starting from April. However, while these companies will have their tax obligations suspended, there is no provision for the suspension of their social security obligations, according to the ministry’s clarifications. A necessary condition for the inclusion of enterprises in the protection framework is the maintenance of the jobs of all their workers.

Fuel stations and companies in the energy sector, waste management and infrastructure projects will see no suspension of tax obligations, but they will be allowed to pay the Easter bonus to their employees by the end of June.

Online