The new tax law provides a 50% reduction in business taxes for all freelancers

An important change will be included in the text of the tax bill submitted to parliament, which provides for a 50% reduction in business tax for all individual entrepreneurs.

According to the publication Ελεύθερος Τύπος, this new significant change will ultimately be included in the final text of the bill currently under consideration. According to the publication, business tax for the tax year will be reduced by 50%, from 650 to 325 euros, for all individual entrepreneurs, regardless of whether they are included in the new system of objective tax criteria or not. In 2024 and subsequent tax years, there will be a complete abolition of income taxes for all businesses.

A horizontal 50% cut in business tax for the self-employed will limit the increase in tax burden that will occur in 2024 for those who will be taxed under the new system of objective criteria, leaving a net benefit of €325 per year for others.

However, this does not mean that the clause in the bill will be repealed, according to which all private entrepreneurs, self-employed and freelancers will have to pay tax on the amount of 10,000 euros, even if they did not have such income.

This point caused mass protests among the population of Greece, since 22% tax is levied on amounts of 10 thousand euros and above, and 9% on amounts up to 10 thousand euros. Given the current inflation and rising food prices, this law will ruin tens, and possibly hundreds of thousands of small entrepreneurs, self-employed people and freelancers.

Critics of the bill note that the prime minister’s advisers promised him that this decision would force private entrepreneurs to close their businesses and take jobs in large companies that are easy to control. Which, simultaneously with the authorities’ policy of denunciation of violators, will help avoid problems with illegal activities.

However, as analysts note, all these points look good on paper, but real life will make its own changes to them, which can completely negate all the plans of the authorities.

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