POMIDA’s letter specifically mentions the following:
To the Minister of Finance Mr. Christos Staikouras
The Deputy Minister of Finance Mr. Theodoros Skylakakis
The Deputy Minister of Finance Mr. Apostolos Vesyropoulos
Inside Athens, 7.2.2021
TOPIC :The necessary interventions in ENFIA and the distortions of the N. 4389/2016.
Honourable Ministers
Regarding recent statements about a new reduction in ENFIA by 8%, which will, however, obviously be accompanied by increases in the zone prices of real estate based on data collected before the pandemic and therefore have nothing to do with the current reality in real estate market, we would like to point out to you that for the restoration of tax justice and logic as far as possible, in the changes you are planning, our opinion is that the following are important:
- The non-increase of any urban area zone value already included in your Ministry’s objective value system, but also the review of age and size factors for residential and commercial properties.
- The reduction of the amount of ENFIA by a fair and equal percentage for all taxpayers, because it is unfair and unreasonable that whoever bears the greatest burden should receive the smallest reduction.
- The immediate abolition of supplementary tax of ENFIA, according to the proposals of the Pissarides Committee and the relevant study of IOBE, even in two stages, i.e. -50% for 2021 and -50% for 2022.
- The restoration of the most serious distortions of the ENFIA brought about by the law 4389/2016 of the previous government, especially to the detriment of the owners of vacant and unused properties and properties without income. In particular, we request:
- Reintroduce the reduction of the taxable value by 20% of vacant and non-electrified properties belonging to natural , but also to legal entities.
- To reduce and return to the original level the burden on urban plots which was increased irrationally and “punitively” by 25%.
- To reduce to the original level the tax rates of the main and supplementary ENFIA, which increased dramatically and irrationally up to +40%.
- To reduce and restore the additional tax rates for legal entities from 5.5‰ to 5‰ and for the defined N.P.D.D. and N.P.I.D. non-profit as well as the A.E.E.A.P. from 3.5‰ to 2.5‰.
- Reintroduce the exemption from the supplementary ENFIA for self-occupied commercial properties which are currently taxed at a rate of 1‰.
Only in this way, Ministers, elementary justice and logic will be restored in ENFIA taxation, so that owners can meet their obligations from this heavy annual taxation, without being in danger of the consequences of not being able to pay it.
For the Board of Directors of POMIDA
President Gen. Secretary
Stratos I. Paradias Tasos G. Vappas