Deputy FinMin Theoharis: Rise in tax revenues due to less tax evasion and lower unemployment

Theoharis also rejected the opposition's argument for a reduction in VAT rates in food, responding, "Examples of the fact VAT reduction does not work and does not benefit the final consumer are Cyprus and Spain, which reduced VAT in foods and have a food inflation rate of 10.34%, while in Greece it is 9.44% without a VAT reduction."

The economy minister also termed the opposition's claims that the rise in revenues is attributed to indirect taxes "a great myth". He added, "The higher revenues of 2023 are mainly from direct taxes. It is the first time we have surplus revenues of 2.4 billion euros from individuals' income tax. We have 7.1 billion euros in total revenues, a historical record in business taxes, and the 2.4 billion euros derive from the increased taxation revenues."

Theoharis noted that the increase of tax revenues in 2024 is expected to reach 2.6% against GDP's rise of 3%. Therefore, he underlined, revenues do not derive from a rise in tax rates and taxes themselves, but from the reduction of unemployment, which is assessed at 10.6% on average in 2024.

"And, of course, from the measures against tax evasion, which are already bringing in results," the minister told the committee. "It is a fair budget, because revenues are truly rising and we truly provide the opportunity to implement New Democracy's reform program - because there is no reform without funding. All reforms - in the public sector, health, education - need funding and therefore an increase in revenues, but not just from a rise in taxation," Theoharis said.