Filenews 24 July 2025 - by Eleftheria Paizanou
After the reactions of the trade unions to the government's intention to tax, after the approval of the tax reform, the gratuitous compensation that employees who will leave their jobs through voluntary exit plans will receive, the government reassures that the target is not the compensation of a few thousand euros, but those that are particularly generous, amounting to hundreds of thousands of euros.
A competent source, speaking to "F", explained that the taxation of these compensations will not contribute so much to the increase of state revenues, but is mainly done for moral reasons, as well as for reasons of justice.
As Fileleftheros has already written, according to the bill, the amount of the first €20,000 of the gratuities will be tax-free and then the remaining amount will be taxed. The tax rate that has been locked is 20% of the taxable amount. Therefore, in the event that someone receives a bonus for the voluntary exit of €120,000, the first €20,000 will not be taxed and 20% of the tax will be imposed on €100,000, i.e. €20,000. Therefore, this taxpayer will receive a net amount of €100,000 as compensation.
The technocrats chose to set a horizontal tax rate and a specific tax rate as it is easier to apply and fairer in practice. Essentially, those who will receive larger amounts of compensation will be more burdened. In addition, this regulation determines that the mass of taxpayers is not affected.
Damages up to €1.2 million
In previous years, as a competent source told F, compensation was given to employees who left their jobs, which reached €500,000 or €700,000 while there were also cases when the donation amount amounted to €1.2 million, without the compensated persons paying a single cent to the Tax.
As he explained, this category of taxpayers is targeted by the provision that has been added to the Income Tax bill and is included in the package of legislation for tax transformation.
In fact, he said that since 2013, when the number of such schemes increased, there have been many cases of workers receiving large amounts of compensation, which were tax-free.
The reactions that exist on this issue and will be put before the Parliament during the discussion of the bills next autumn are something that is of great concern to the government side, which seeks to achieve equality and social justice by taxing bonuses.
Besides, for this reason, it leaves out of the tax tweezers the lump sums received by employees in the public sector and in the wider public sector, as well as the compensation paid by pension schemes and welfare funds and provided for in employees' collective agreements.
It is reminded that, according to the bill, all additional income granted as an incentive for acceptance of employment or appointment to office will be taxed, including such benefits provided before the commencement of employment or appointment to office, gratuitous allowances during retirement or early retirement and for termination of employment.
Also, income resulting from amounts to be collected according to a court decision, which relate to employment or office, income from the estimated annual value of accommodation, housing, house or food, as well as earnings from any allowance, will also be taxed.
