POS all across the economy
New criteria considered for determining the actual incomes of self-employed professionals
The extension of point-of-sale terminals (POS) to all economic activities is a priority for Deputy Minister of National Economy and Finance Harry Theoharis and head of the Independent Authority for Public Revenue (AADE) Giorgos Pitsilis. At the same time the ministry is planning for changes in the taxation of freelancers and the self-employed as the application of a new type of objective criteria is being considered.
As far as the decision on POS is concerned, it is expected before year-end and, according to the instructions from the minister, the POS regulation must apply as soon as possible.
“We cannot achieve [the halting of tax evasion] with prayers,” Minister Kostis Hatzidakis told Skai, while emphasizing that the increase in electronic transactions has contributed significantly to the reduction of tax evasion, pointing out that by limiting it the government will be able to slash tax rates.
According to sources, the draft decision being processed by AADE and the ministry, as well as the Ministry of Development, will include the following sectors that must have a POS. So at the end of the year or early January the sectors requiring a POS will be taxis, cinemas, open-air markets, kiosks, groceries, insurance companies, stall holders at fairs, brokerage companies, concert venues and events.
More industries are expected to be added, while those professionals who do not have a cash register, such as tailors, will be forced to get one.
Hatzidakis also said that freelancers have an obligation, in addition to connecting their cash registers with POS, to connect their business account to the IRIS direct payment system, as well as to accept direct payment from any individual who requests it.
The planning for the new types of objective criteria determining one’s real income will concern freelancers and the self-employed. An algorithm will factor in the professional’s income and expenses, along with their living expenses. Bills such as electricity and cellphone, rent, amounts spent via cards, fuel, as well as the tax paid, will be included.
