Greece plan flat 18% VAT rate

News coming out of the EU suggests that Greece is planning on implementing a flat VAT rate of 18% and also reduction in their list of exemptions. Greece currently has one standard VAT rate of 23% and two reduced rates of 13% and 6.5%, these would be combined so there is only one rate of 18% meaning that the standard rate will fall by 5% but the reduced rates will see a significant rise. Medicines would be the only exemption, although tourism VAT rate is also expected to stay at 13%. The special status granted to Aegean islands, with a 30% discount on VAT rates, will be abolished.

This is part of the Greeks government’s negotiations with creditors to start reducing their high levels of national debt, and increase revenues. Nothing has as yet been approved and the rate would not be implemented till late 2015 at the earliest.

Laura Stockley
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Laura Stockley

Consultant at eBiz Answers Ltd
Laura graduated from University with a degree in Business Studies, and has been working as an Oracle eBTax consultant for several years now, with both R12 eBTax and Fusion (Oracle Cloud) Tax. Focussing primarily on the tax module and its components, Laura also works on the other financial modules and understands how they integrate with the tax engine. Laura has worked on projects with multiple clients covering all aspects of the tax module including AP, AR and GL, working on everything from design, configuration, testing to support. An excellent communicator, Laura enjoys interacting with end users and relishes the challenge of resolving their issues; making tax an enjoyable experience, always.
Laura Stockley
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