A tough October is in store for Greek households that are being called to pay 2.5-3 bln euros in taxes (not including the VAT hikes imposed on Aegean islands or private education institutions). On the last day of September, over three million taxpayers need to dig deep into their pockets to collectively pay 1.8 billion euros in income tax, without taking into account the additional clearances that they need to take care of by October 16.

Debt installments worth 600 million euros are due for 800,000 tax payers. Former deputy finance minister Nadia Valavani’s special tax alleviations aimed at relieving taxpayers from some of the burdens, such as installments at 20 euros per month, are no longer in effect. This means that the Ministry of Finance will seek the money using express procedures, such as foreclosures, as stipulated in the third (bailout) memorandum.

A new shock is due for 6.1 million property owners on October 20 when they receive the joint real estate tax (ENFIA) notices aimed at lining state coffers with another 600 million euros. Not only have there been no ameliorations as promised by the Radical Left Coalition (SYRIZA) government, but the ENFIA calculations are based on the erroneous objective property values of 2007 that bear no relation to current prices!

Worst still, the installments that need to be payed from October to February have been shortened to five (increasing each painful payment by 20%) due to the postponement in applying the controversial tax.

The only ameliorations in comparison to last year’s ENFIA will be the 20% discount for real estate that has not been leased, and 50% for low incomes as well as exemptions for large families and the disabled.

The government is also seeking another 2 billion euros in funds following the State Council’s decision that found judicial and military pension reductions that had been imposed retroactively from August 2012 to be unconstitutional.