Deputy Finance Minister Giorgos Mavraganis announced that the government is aiming to lower the joint property tax (ENFIA) as well as the maximum income tax rate for employees and pensioners to 32% from 42%. Mr. Mavraganis made this announcement at the 6th Thessaloniki Tax Forum, organized by the Tax Commission of the Greek-American Chamber of Commerce, on Monday. He also said the government could potentially use ENFIA to fund local government organizations.

“Our plans for the immediate future foresee a continuation in the lowering of tax burdens,” he said, adding that the steady fiscal balance and primary surpluses could be used to assist in this direction.

The minister specified that the government wants to lower ENFIA so as to generate revenue lower than 1% of GDP from 1.43% today and explore whether it can be turned into revenue for the local government.

The finance ministry is also considering cutting the maximum income tax rates for employees and pensioners to 32 percent from 42 percent and cut income tax rates for businesses.

Mr. Mavraganis also said the government also hopes to abolish data currently used to determine real income thanks to the information that has been collected for tax payers and the use of modern auditing tools, possibly for incomes declared in 2015.