Changes to payment of dues over €50,000

The standard arrangement of 24 to 48 installments for debts to the tax office is becoming more flexible, as the draft law makes it easier for those who owe more than 50,000 euros.

In particular, with a provision in the new tax bill, which is under public consultation, the certification by an independent appraiser, from which the debtors’ financial inability to repay their debts in one go is determined, is abolished. Also, the provision of a guarantee or assurance or real security by taxpayers with debts exceeding the amount of €150,000 is abolished.

Based on the changes included in the draft law on the inclusion in the permanent arrangement for debts to the tax administration, the condition which stipulates that “in the event that the total basic debts exceed the amount of €50,000, it is required to present data, from which the temporary financial inability and the ability to comply with the terms of the regulation with a signature for the control and certification of these by an independent appraiser” is also abolished. The provision that defined that “for total basic debts that exceed the amount of €150,000, the additional provision of a guarantee or assurance or real security for all of them is also abolished. An independent appraiser will determine the value of the security offered.”

According to Kathimerini after the above changes, the inclusion of debtors in the regulation requires a detailed declaration of all income, assets and any debts to third parties and the submission of tax returns for the last five years.

In particular, with the fixed arrangement, regular debts to the tax office (income tax, Single Property Tax, value-added tax etc) can be repaid in two to 24 monthly installments and up to 48 if they are debts confirmed by inheritance tax, tax and customs controls, as well as for non-tax and customs debts.

The amount of the monthly installment cannot be less than €30. Installments are charged with an interest rate of 4.34% for debts settled in 12 monthly installments and 5.84% for payment in more than 12 installments.

The late payment of an installment entails a 15% surcharge and must be paid no later than the deadline for the payment of the next installment.

Kathimerini