According to a report in the Haniotika Nea of 6th October, the middle of the month will see the full implementation of the EISPRAXIS initiative, which enables the AADE, the Independent Authority for Public Incomes, to track down and sequester resources from those owing back taxes to the government.
While tax evasion has been an ongoing issue for the tax authorities, and one of the major causes of Greece’s financial troubles during the economic crisis, the current situation shows that identifying taxes due is only one facet of the problem. Currently 4.2 million people, or 40 per cent of the Greek population, owe back taxes, which amount to a staggering 112 billion euros, or 28 per cent of total government debt. (The latter stood at 394 billion euros at the end of the second quarter of 2022 according to the Bank of Greece.)
The scheme has been piloted in some areas since last month and will shortly go nationwide, once the training of 1,100 AADE employees who will be employed in tracking down defaulters has been completed.
The new information system will examine the financial profile of every person who owes back taxes, and allow immediate action to secure payment of the debt.
Data will be collated from all the AADE’s systems including the Taxis and Elenxis tax information systems, Icisnet (for electronic Customs transactions), as well as other bodies (the Land Registry, the General Commercial Register GEMI) and also the tax authorities of other EU member states.
Each debtor will be given a separate electronic file which will be monitored in real time and at the same time other associated parties such as joint debtors, debt guarantors and legal representatives will be kept under observation.