As many as 16 changes are being introduced from January 1 in the taxation of all households, enterprises and property owners, mostly concerning reduction that will significantly alter the landscape for local taxpayers. They are the following:
– Income tax overhaul, with the first tax bracket (up to 10,000 euros) incurring a rate of 9 percent against 22 percent and a reduction by one percentage point for all other tax brackets.
– Corporate tax cut from 28 to 24 percent for 2019 profits to be taxed in 2020.
– Dividend tax halving from 10 percent to 5 percent for the 2019 financial year.
– Tax cut to 10 percent on all agricultural cooperative vehicles.
– Suspension of the 24 percent value-added tax on transfers of new properties, applying to buildings with licenses issued up to the end of 2022.
– Suspension of capital gains tax on property transactions for three years (to end-2022).
– Tax discount amounting to 40 percent of any spending on services for the operational and esthetic overhaul of buildings up to the amount of 16,000 euros.
– Reduction of the 24 percent VAT on basic commodities for babies to 13 percent.
– Reduction of the VAT on children’s car seats and on motorcycle helmets from 24 to 13 percent.
– A new standard tax debt payment plan, with 24 or 48 monthly installments depending on the type of the debt.
– Exemption from the solidarity tax for people with a disability of at least 80 percent.
– Abolition of the luxury tax for private cars used by households with at least four unmarried children under the age of 18.
– Incentives for the transfer of the tax residence of individuals wishing to invest at least 500,000 euros in Greece.
– Exemption of Greece-domiciled corporations from the capital gains tax on the transaction of holdings
– Exemption from income tax and solidarity levy of interest from bonds by listed companies.
– One-off forgiveness of debts up to 10 euros per taxpayer.