The boldness of the Greek state seems to know no limits. Finance Minister Evangelos Venizelos announced that the solidarity tax, i.e. the additional tax to already taxed incomes, will be collected via the monthly salaries and pensions before the taxpayer gets even 1 euro in his pockets! According to FinMin, the 1%-4% emergency income tax will be retained directly form the salaries and pensions. The total amount to be paid by the taxpayer will be retained in 12-14 installments as of January 1, 2012.
That means the taxpayers will suffer a further reduction on their net earnings. A taxpayer with yearly income 18,000 EUR gross will see his net income reduced by 15 euro per month and in advance of that he was going to pay.
UPDATE: Some things got clear during the prime time news and here is the clue: The ‘solidarity’ tax for 2012 will be paid 2012 in installments via salary or pension. The S.T. for 2011 will be paid as of May 12 once or in six installments. The S.T. for 2010 has started to be paid in Sept 2011 once or 6 installments. So if your share of ‘solidarity’ (to and with whom it’s not known, but I assume with Banks) is 1,000 EUR and you can’t pay once… in the year 2012 you will have to pay the rest installments of 2010, the 6 installments of 2011 and per month you will have 71 EUR less (ST 2012) in your earnings each and every month until the end of the year. Got it? No? Read again 🙂
In short, the state will collect 2+ solidarity taxes within one year! Satanic, cheap and immoral!
The measure saws the panic of the Greek Finance Ministry to get hold of the movement “I don’t pay” and to increase state revenues. It is not clear how they will get the solidarity tax, once the employee gets simply… jobless.
This year’s emergency tax practice was that the tax offices would send the bills and the tax payers had the possibility to pay in 6 installments, or even not…
This ‘genious’ measure will hit again the usual suspects : the employees and the pensioners who carry the burden of feeding the greedy state.
The so called ‘solidarity contribution’ has been implied in 2011 and will be valid until 2015 in a time when incomes have suffered 30-40% cuts, and the trend is downwards..
So far, not a single cent has been collected by the big scale tax evaders, the off-shore guys and the holders’ of Swiss bank accounts.
There is no day without a new measure that plunges the incomes. SHOO!