Additional tax coming for those who do not pay by card

In Greece, the government continues to tighten its electronic payment policy as part of measures taken against tax evasion. Taxpayers in the country, including employees, retirees, and the self-employed, are required to spend at least 30 percent of their annual income using digital methods such as debit cards, credit cards, or online banking.

This regulation specifically aims to bring the informal economy under control. Thanks to the mandatory electronic payment requirement, it is expected that transactions will be monitored more transparently and tax revenues will increase.

SANCTIONS FOR THOSE WITH INSUFFICIENT SPENDING

Under the new policy, those who do not meet the specified electronic spending rate will be charged an additional 22 percent tax on the missing amount. For example, a taxpayer with an annual income of 20 thousand euros is required to spend at least 6 thousand euros through digital means. If it is determined at the end of the year that this person has only spent 5 thousand euros electronically, an additional tax will be paid on the remaining 1 thousand euros.

In some cases, the electronic spending limit can go up to 20 thousand euros, and the amount of additional tax to be applied increases in proportion to the higher annual income.

DISCOUNT OPPORTUNITY FOR EARLY FILERS

On the other hand, the Greek administration, which wants to encourage citizens in tax processes, offers a tax discount of up to 4 percent to those who file their income declarations ahead of time. Those who file their declarations quickly have the chance to pay their taxes at a lower rate by taking advantage of this discount.

News Source: 12punto