Thursday, April 22, 2021

PARLIAMENT AGREES TO OVERDUE TAX DEBTS BY INSTALMENTS

 Filenews 22 April 2021



After a long debate and positions of Members towards the Member of parliament of the Movement of Ecologists Cooperation of Citizens, the plenary of the House with 47 votes in favour, 1 against and 2 abstentions passed into law the proposal for a law, which allows the settlement of overdue tax debts in instalments, to debtors, who are unable to fulfil their tax obligations due to the economic consequences of the COVID 19 pandemic.

The proposal for a law was tabled by DIKO MP Christiana Erotokritou, who said the pandemic has affected all the economic units of the place, causing problems in the repayment of overdue debts. He clarified that the law concerns 2016, 2017, 2018 and 2019 arrears for companies that have a reduction in turnover and aims to encourage them to remain consistent in repaying their debts. It also explained that it was possible to lengthen the 4 unpaid instalments which put the debtor out of the programme to 9 instalments.

As stated in the Report of the Parliamentary Committee on Finance to the Plenary of the House, according to a representative of the Tax Department, the tax debts of the years after the year 2015 and until 2019 were created before the pandemic and therefore the non-payment of debts is not due to it, while, he said, debts of €1.5 billion are outstanding, which increase to €2 billion. , if interest is also taken into account.

Mr Perdikis clarified that he does not question good intentions, but does not support the proposal for a law, as it has been stated that the deduction of interest and charges from overdue tax debts, in previous arrangements most who benefited are those who had to pay and did not pay. He also expressed the view that anarchy is created and a section is rewarded, which has weaknesses in carrying out its work.

He said nine political figures, including two MPs, have overdue debts. He added that there is a list of overdue ones until 2017, kept secret and said he requested an update of the list.

Ms. Ertokritou said that members of the House Finance Committee were asked during the discussion of the law if they had a conflict of interest.

DISY MP Onufrios Koullas said that references to lists from Mr. Perdice's Movement and general references degrade the level of public discourse. He added that it had not been established that in a previous similar arrangement those who had the money and did not pay benefited. We are going through another huge crisis, an internment, the conditions are not normal, he went on to add that those who demonstrate a reduction in turnover of 25% or more of turnover can be included in the programme. He also said the state would collect if incentives were given, adding it was a very good proposal and the DISY supports it.

On behalf of the Democratic Forces Cooperation, Angelos Votsis said that "Mr. Perdikis does not let us sanctify" and stated that the three Members of the Co-operation were not involved and did not take advantage of the arrangement for overdue debts.

Then the President of disy Averof Neophytou took the floor, who said that Mr. Perdikis started movingly, but his words in one hour were set off with catchy words about tax evaders. Overdue debts do not include the fraudster who evades tax. He also referred to a senior Official of the Ecologists who since the founding of the Republic has the largest loan write-off, reaching 80% of "the mother's" in addition to interest, he said.

DIKO MP Charalambos Pitokopitis said that what they charge mr. Perdikis earns with his value and the MP of the same party Zacharias Koulias asked Mr. Perdikis to be mentioned by names.

For the ACPL, Andros Kaukalias said that the state's tax collection capacity remains low. He added that the pandemic has brought about data that imposes regulations and decisions to deal with pressures, stating that the ACPL is voting in favour.

On the solidarity side, Michalis Giorgis, after noting that businesses are being pressured both economically and psychologically and that the Government should take care of this kind of legislation, stated that the Members of Solidarity did not benefit from the programme to regulate arrears.

EDEC President Marinos Sizopoulos said the state's tax collection capacity should be upgraded. He added that in 2004 Cyprus was in the pre-stage for economic surveillance and tax amnesty contributed to improving the state's finances and avoiding surveillance. He also said that "what Mr. Perdice has to say by naming and being more careful" and spoke of Environmentalists involved in non-performing loans.

Secondly, Mr Perdikis said that the concept of conflict of interest was defined by the Rules of Parliament and the Code of Conduct. Mr. Perdikis also said that "lies were heard" by Mr. Averof and Mr. Sizopoulos and added that the Movement asked that the cases on the Auditor General's list be examined by an independent panel of auditors. Referring to hypocrisy, he said that only ACPL and Ecologists had put forward proposals for the terms of command of a group of independent Auditors.

Secondly, the President of the DISY said that the Ecologists' Movement to date had 3 leaders and 2 of the 3 had non-performing loans and loan write-offs. When we raise our finger, we do self-criticism, he added, noting that the non-performing is not a con man. He also said that the DISY six months ago submitted a document for independent auditors. Finally, he said that his party's position is that conflict of interest should be declared, but in addition, the conflict of interest should not benefit from the regulation it votes on.

Source: Eyenews/CYP