Greece scraps bailout commitment to lower tax-free threshold

Greece on Friday scrapped plans to force people to pay more tax on their incomes from next year, less than a month before a parliamentary election.

The outgoing parliament passed a measure proposed by the leftist Syriza government, revoking an income tax credit package due to come into effect in January.
That measure, among the commitments demanded by international lenders in return for a bailout, would have lowered a tax-free earnings threshold, making more people liable for income tax.
The Finance Ministry said a better-than-expected fiscal performance had rendered the measure unnecessary.
"We didn't reduce pensions and we will not reduce the tax-free threshold," Finance Minister Euclid Tsakalotos told lawmakers, in parliament's last official sitting before the election on July 7.
In a report this week, the European Commission said broadening the tax...

Continue reading on: