Extraordinary handout to offset abolition of reduced VAT in Aegean islands

An extraordinary social handout from 500 to 2,100 euros, depending on family size, will be given to islanders in 2018 as a readjustment offset for the abolition of lower VAT scale applied on transactions on the Greek islands.

This is foreseen in a ministerial decree published in the Diavgeia online platform, following a parliamentary amendment that extends for another six months – until June 30 – the use of a reduced VAT scale in five islands of the Aegean that are bearing the brunt of migration flows (Lesvos, Chios, Leros, Samos and Kos).

The handout will be provided before the end of year; its total expenditure amounts to 25 million euros. The criteria and the application procedure follow the same guidelines as those used to distribute the recent extraordinary social handout to the general population.