Other states are invit­ing rich Greeks

Kathimerini English - - Focus - ILIAS BELLOS

Ever more Euro­pean states are try­ing to at­tract rich Greeks and other Euro­pean Union na­tion­als suf­fer­ing from over­tax­a­tion at home.

Cyprus, Malta, Ire­land, Lux­em­bourg, Monaco, Por­tu­gal and the Nether­lands, as well as big­ger coun­tries such as France, Spain and Italy, are of­fer­ing gen­er­ous in­cen­tives to bring on to their reg­is­ters peo­ple with high in­comes that would ben­e­fit their economies in a num­ber of ways.

The re­lo­ca­tion “in­vi­ta­tion” con­cerns Greek en­trepreneurs as well, given the ex­ces­sive tax­a­tion the gov­ern­ment has im­posed on them and the un­cer­tainty re­gard­ing the fu­ture tax sit­u­a­tion that high in­comes will face.

The con­cept be­hind the tax poli­cies adopted in other coun­tries so as to at­tract wealthy ci­ti­zens is fo­cused on a steady an­nual lump sum tax and their ex­emp­tion from any other bur­dens, ex­cept for those con­cern­ing their ac­tiv­i­ties at their new tax home.

Italy’s case is in­ter­est­ing, as it is a coun­try in the hard core of the EU that has cre­ated a fa­vor­able frame­work: It al­lows rich in­di­vid­u­als with large in­ter­na­tional in­comes to be­come “non-doms” (ie pay­ing tax with­out be­ing res­i­dents) by pay­ing an an­nual levy of 100,000 eu­ros plus 25,000 eu­ros for each fam­ily mem­ber. They are re­lieved of any other tax on in­comes abroad or im­ported into Italy and only pay reg­u­lar tax on ac­tiv­i­ties within the coun­try. This boosts rev­enues, the prop­erty mar­ket and con­sump­tion.

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