NEWS

Real estate tax cuts are due in March

A second round of tax reforms, to be unveiled in March, will simplify taxation on real estate and make property transfers easier. Economy and Finance Minister Nikos Christodoulakis, who unveiled a package of reductions last Thursday aimed at individuals and businesses, wants to provide a boost for the real estate sector. According to sources, he hopes that turnover in the sector will soon triple if tax disincentives are removed. These new tax reforms are part of the government’s plan to maintain high economic growth in a hostile international environment. It has already been forced to scale down forecasts for 2002 growth from 5 percent of the gross domestic product to 3.8 percent. Maintaining high growth – almost double the EU average – is part of the government’s declared goal of real convergence, that is, reaching a per capita income equal to the average of the current 15 EU members by 2010.