BLOOMBERG.- After legislating fiscal measures equal to 1.7 percent of Greek GDP in 2015, coalition lawmakers approved another 3 percent of GDP in tax increases and pension cuts this month, as well as an additional 2 percent of GDP in contingency measures to be triggered only if the country misses certain budget targets. Sunday’s package included among other things:
- An increase in the standard sales tax rate to 24 percent from 23 percent, while the bill abolished VAT discounts for some of the nation’s islands.
- The introduction of taxes on coffee, e-cigarettes, fixed telephony, pay TV, and hotel occupancy, as well as the amendment of property taxes.
- Tax increases in heating oil, gasoline, diesel, car registration, gambling, luxury goods, alcohol, and investment vehicles.
- Cuts in social benefits for low-income pensioners.