SEVE: Over-taxation is a huge counter-incentive for any investor, Greek or foreigner

Over-taxation is a huge counter-incentive for any investor, Greek or foreigner, considering an investment move in Greece, the Greek International Business Association SEVE said in an announcement.

SEVE underlined that a tax-collect policy is putting at risk even the viability of healthy enterprises, while it will lead with a mathematical precision to an increase in tax evasion and social insurance contribution evasion with the result of falling short of expected revenues. SEVE noted that this policy will lead to the imposition of further measures in the long-term, equally inefficient, with the result to further deteriorate competitiveness and breaking social cohesion in the country.

SEVE said that figures so far in Greece showed that irrational over-taxation directly threatened the economy, as taxes and contributions rose but revenue fell, adding that Greek exporting enterprises managed to show their resilience and potential, since exports (excluding oil products) grew 1.2 pct in 2016 on an annual basis.

“The fair question raised is how much better their performance could be if the domestic business environment had not been so negative and how they can cope with international competition in conditions prevailing in the last few months,” the announcement said.