‘Collaboration’ extended for 2 months

The government will extend the “Co-operation” mechanism for another 2 months.

As stated by the Minister of Finance, Mr. Christos Staikouras, speaking at the forum of the “Economic Postman” today, this mechanism will be valid in April and May 2022.

It is reminded that based on the institutional framework so far, the “Cooperation” expires on March 31 for companies that had a turnover reduction of at least 20% in the period April 2020-March 2021.

Based on the statements of YPOIK, it will be extended until the end of May, while the relevant terms remain to be determined (turnover reporting period, etc.).

In addition, Mr. Staikouras stated that in the next few hours and no later than tomorrow, the electronic portal in taxis will be opened for the submission of tax returns.

Referring to ENFIA, he noted that this year it will be lower by about 1 billion euros compared to what taxpayers paid in 2018.

Among other things, he stressed that the additional budget is expected to be submitted next week, based on which the expenses will increase by 2 billion euros. This amount noted that it will be utilized from the cash, which currently amounts to about 40 billion, which means that there will be no corresponding increase in the deficit by 2 billion euros.

At the same time, the Minister of Finance left open the possibility for new interventions to deal with inflationary pressures, such as the reduction of VAT on certain foods, following yesterday’s statements by the Prime Minister who stressed that “the reduction of VAT on some foods is in quiver of support measures for society.

He stated, however, that this is a function of the following parameters:

* the budgetary space that will be available,

* the evolution of the situation, given that Greece will have until the end of April to submit the Stability and Growth Program to the Commission with new estimates for the course of the Greek economy both for this year and for 2023, and

* ensuring that it will have a positive impact on citizens.

He also noted that Greece can not bear to enter the markets again in 2022, although he noted that it is good to have frequent contact with the markets. It should be noted that the initial goal was to raise 12 billion during the year and 3 billion have already been raised.

Christos Staikouras noted that the government’s priority is to extend the reduced VAT on food, transport and tourism at least until the end of the year, which costs 250 million, while the aim is to make the abolition of the solidarity contribution for all permanent by 2023, as as well as reduced rates on insurance contributions.