Government announced austerity plan

» PM: “Sacrifices will Bear Fruits”

The government announced yesterday an additional set of measures bound to slash the double-digit public deficit.
Speaking yesterday at a Cabinet meeting, Prime Minister Papandreou said that the emphasis is now shifting to what the European Union will do. 
The new measures aim at bringing into public coffers some €4.8 billion, amount which corresponds to 2% of the country’s GDP.  

» Pay Cuts

In particular, the new measures include a 30% pay cut of public sector’s supplements allocated annually, and a 12% across the board cut of public servants’ benefits. Moreover, subsidies to public entities and their social security funds will be reduced by 10%.
Any additional remuneration in the public sector will be trimmed by 50%, and compensation for overtime work will shrink by 30%.

Executive bonuses in the public sector will be abolished and the Public Investment Budget will be curtailed by 5% (€500 million). As of 2011, the ratio for public sector hirings will be one for every five retirees.

» Taxation

VAT is expected to rise at all cases by an average 1% to 2% and an extra levy on fuel, cigarettes, liqueur and luxury products will be imposed.
A one-off tax of 1% on personal incomes above €100.000 will also be introduced, together with a 15% rise in taxation of offshore companies’ real estate property.
Kathimerini daily: Further Cuts and Tax Hikes Announced
(GREEK NEWS AGENDA)

Advertisements

Have you Registered your Land in Greece?

(GREEK NEWS AGENDA) The Hellenic Cadastre is expanding into 107 new areas in the prefectures of Athens, Thessaloniki and the capital cities of all prefectures throughout Greece which had not been included in the country’s registry with previous projects. The cadastre constitutes the most important registry project that has ever been undertaken. In less than 4 years, 3.1 million hectares of land and 6.7 million real estate property rights will be registered. Citizens owning real estate properties in these areas must have them registered at the cadastre until September 30, 2008, while Greek citizens residing abroad can register their real estate until December 30, 2008. For further information, one may visit the Secretariat General of Information’s site: Land Registration in Greece (ΕΛΛΗΝΙΚΟ ΚΕΙΜΕΝΟ) Continue reading