Background information

Legislative Act 30 March 2020/2020, Law 4682/03.04.2020 and recent Law 4701/01.07.2020 (article 36) include provisions to support businesses economically affected by the COVID-19 crisis by providing (among others): a 25% reduction of assessed liabilities on installments of tax payments that were due between 30 March 2020 through 30 April 2020, 1 May to 31 May 2020 and 1 June to 30 June 2020 respectively. The 25% discount applies also on installments for tax liabilities (including VAT and withholding taxes) under a settlement scheme, provided that no past installment is overdue.

Content of measure

By virtue of the Legislative Act 30 March 2020/2020 and subsequent Laws 4682/03.04.2020 and 4701/01.07.2020 (article 36) entities, whose operation has been mandatorily suspended or have been economically affected because of COVID-19 (their main activity must be among the specific Activity Code Numbers announced by the Ministry of Finance on 26 March 2020), including freelancers and individual entrepreneurs, individuals eligible to receive the financial support of €800, are entitled to a 25% deduction on their installments in relation to

• assessed tax liabilities and
• settled tax liabilities on the basis of a special settlement or payment facilitation process, which were due on 30 March 2020 through to 30 April 2020, 1 May to 31 May 2020 and 1 June to 30 June 2020 respectively, on condition that these payments are timely settled.

The above deduction does not apply to liabilities arising from the retrieval of government reliefs nor to tax liabilities towards foreign states. By virtue of special Ministerial Decision, the timely payment of the March tax liabilities, which are eligible for the 25% deduction, has been extended to 10 April. Based on relevant announcements by the Ministry of Finance, the above reliefs shall apply on condition that the beneficiary enterprises will retain the existing number of their employees.

Use of measure

Entities whose operation has been mandatorily suspended (249,474) or have been economically affected (595,395) because of COVID-19 (their main activity must be among the specific Activity Code Numbers announced by the Ministry of Finance on 26 March 2020), as well as freelancers and individual entrepreneurs.

Target groups

Workers	Businesses	Citizens
Does not apply to workers	Applies to all businesses	Does not apply to citizens

Actors and funding

Actors	Funding
National government	No special funding required

Social partners

Social partners' role in designing the measure and form of involvement:

	Trade unions	Employers' organisations
Role	No involvement	No involvement
Form	Not applicable	Not applicable

Social partners' role in the implementation, monitoring and assessment phase:

• No involvement
• Main level of involvement: Unknown

Involvement

No involvement.

Views and reactions

Not known.

Sources

• 30 March 2020: Act of Legislative Content of 30.03.2020 "Measures to combat the pandemic of coronavirus COVID-19 and other urgent provisions" (www.et.gr)
• 03 April 2020: Law 4682/2020 Government Gazette 46/A/3 April 2020. (www.e-nomothesia.gr)
• 02 July 2020: Law 4701/2020 “Framework for Microcredit provision, financial sector regulations and other provisions” (www.e-nomothesia.gr)
• 27 October 2020: Law 4738/27.10.2020: Debt settlement and provision of second chance and other provisions (www.kodiko.gr)
• 27 October 2020: Law 4738/27.10.2020: Debt settlement and second chance and other provisions  (www.kodiko.gr)
• 19 April 2021: Ministerial Decision: A 1091/19.04.2021 (www.aade.gr)
• 23 April 2021: Law 4797/23.04.2021: State aid to companies and non-profit organizations for natural disasters, emergency arrangements to support the economy, supplementary state budget and pension regulation (www.taxheaven.gr)