Measures to support households and businesses for 2022 – What will apply to ENFIA, solidarity contribution, electronic receipts, VAT and business taxation – All taxpayers will see an increase in their income.
Tax cuts of 2 billion euros will have in 2022, giving “breaths” to thousands of households and businesses.
The process of submitting tax returns begins earlier than any other year. On the last day of 2021, the decision of the Governor of AADE, George Pitsilis, was published in the Government Gazette, calling on companies and public bodies to submit electronically by February 28, 2022 to AADE the certificates of salaries, pensions, fees from business activity, dividends for the tax year 2021.
AADE’s goal this year is the platform for submitting tax returns to open by the end of March and it is not excluded that the fan of income tax repayment installments will open for those who will receive a debit note this year.
Based on the earnings certificates, the details of the income and taxes withheld and corresponding will appear pre-filled in the tax return.
From the very first days of 2022, the implementation of a series of provisions voted in 2021 will bring significant support to consumption and the labor market.
The three bi-monthly installments provided by the current legislation are considered to be increased to 8 or 10 monthly installments.
What will apply to ENFIA, solidarity contribution, electronic receipts, VAT and corporate taxation:
More installments give taxpayers a breath of liquidity which facilitates the repayment of their tax liabilities.
The tax advance is set from 100% to 80% for legal entities and 55% for natural persons on a permanent basis. The reduction of VAT rates for transport, coffee and non-alcoholic beverages, cinema tickets, tourist package and gyms continues for the first half of 2022. In addition, the mobile subscriber fee is reduced to 10% from 12% to 20% where it was until last year for all over 29 years old.
The “tax breaks” for households:
Suspension of solidarity contribution: The increase in salaries (through the suspension of the contribution and the reduction by 3 percentage points of insurance contributions) will be maintained in 2022. Thus, private sector employees, self-employed – self-employed (for 2021 incomes), those who have rental income and those who receive dividends will be exempt from the solidarity contribution for another year.
New fair values: The new fair values of real estate come into force in January. With the changes that have taken place and the new inclusions of areas in the system of objective determination of the value of real estate, 13,808 areas now have a zone price and based on this, almost all the taxes imposed on real estate will be calculated.
New ENFIA: The “revelations” of ENFIA 2022 will take place in the first two months of the year. The new ENFIA is planned from scratch without any changes in the total real estate burden, as the financial staff is committed to budget-neutral changes.
It is noted that in more installments, 10 or 12, the new ENFIA will be paid, which is expected to “knock on the door” of 6.3 million property owners in March.
Tax deduction with e-receipts: From January 2022 until 2025, 30% of the expenses incurred by taxpayers with electronic means of payment to specific professional sectors and up to the amount of 5,000 euros per year, are deducted from the taxable income of natural persons persons.
New tax lot: The new tax lot will distribute up to 50,000 euros per month to lucky taxpayers. Each month 500 lucky people will win from 1,000 euros, 70 from 5,000 euros, 5 from 20,000 euros and a super lucky taxpayer will win 50,000 euros.
Reduced VAT: Reduced VAT rates on travel, transport, coffee, soft drinks and movie tickets have been extended until June 2022. Also until the end of June, the VAT rate will be reduced from 24% to 13% in gyms, swimming pools and all dance schools that are not exempt from VAT. A permanent measure is the transfer of feed to the reduced VAT rate.
The “tax breaks” for businesses:
Businesses will be taxed at reduced rates in 2022.
The rate is reduced from 24% to 22%. This is the second reduction made by the government. In 2019 it was reduced from 28% to 24% and is now limited to 22%.
The reduction of the rate, in combination with the reduction of the tax advance from 100% to 80%, the reduction of the insurance contributions and the extension of the subsidy program of 100,000 new jobs for another 50,000 jobs, will give “breath” to the companies.
Also for the companies that are merged, the tax due is reduced by 30% for three years. Individual companies can partner by setting up a new legal entity and receive the same discount. Finally, expenditures related to the promotion of the green economy, energy and digitization will be deducted from the gross income of small and medium-sized enterprises, increased by up to 100%.