The rhythm is increasing in the Ministry of Finance, ADDE, in the accounting offices of businesses, but also in the relevant departments of the State, in order to start earlier this year the submission of tax returns. Already the AADE has launched the application for the submission of business activity fees, dividends, interest, royalties and remuneration 2021, with a deadline of 28 February. The issue of timely submission of the relevant data was discussed at a meeting held under the Minister of Finance, Christos Staikouras, with relevant officials of the Ministries of Labour and Rural Development and other stakeholders.
The main objective of the financial staff is to start submitting this year's tax returns from March, so that accountants have sufficient time to submit the returns. This, of course, does not mean that income tax will also start being paid earlier. On the contrary, as Mr Staikouras recently stated, this year income tax will be paid in 8 instalments, with the first to be paid in July and the last in February 2023.
Once the relevant process of submitting the data to be sent to the AADE is completed, the Authority will proceed with the pre-filling of the income, withholding taxes and taxes due based on the taxpayers' income for 2021.
On the basis of the instructions of the Hellenic Revenue Service, among other things, it is foreseen that the special allowance received by seasonal workers in the tourism and catering sector is exempt from all taxes and contributions and is not included in the total actual or imputed family income. Also, special-purpose allowances granted to workers as a result of the pandemic or disaster are tax-free and not subject to any levy. But also the extraordinary financial support for vulnerable pensioners granted in 2021 is tax-free, not subject to the special solidarity contribution and is not counted towards the income thresholds for the payment of any social or welfare benefit.
Separate tax returns
Married taxpayers have until 28 February to declare to the Hellenic Revenue Service that they wish to submit separate tax returns, as the relevant application has already been put into operation by the AADE. Through this service, married taxpayers can notify their choice to file a separate spousal income tax return for the tax year 2020. As a reminder, this year, whether the tax returns are filed jointly or separately, the tax returns issued will be separate for each spouse. After the 28 February deadline, it is not possible to withdraw the option to file a separate return.
