The digital transformation of companies and the incentives created by tax relief with the reduction of tax rates will be the springboards for the growth of Greek companies for 2022. The financial staff of the government has studied the cost ratio of the reduction of tax rates fiscally and as the intended result for 2022 and it seems that the benefits in taxable income from the reduction will be much greater from 2022 onwards.

According to information from epixeiro.gr, the direct losses of tax revenues from the reductions of tax rates will be of the order of 1.2 billion euros for 2022, an amount that can be easily addressed with a bond issue or an auction of Interest-bearing Bonds. However, the estimated future tax revenues from the recovery of the companies will exceed 5 billion euros in a 3-year horizon. According to studies by American universities and the European INSEAD, any percentage reduction in tax rates can lead to more than tripling tax revenues in the horizon of 3-5 years if companies, of course, remain in a growth climate and have no other problems.

In the matter of digital transformation, it is considered that investments can be made gradually that if financed by NSRF or the special funds of the Recovery Fund, will create goodwill but also reductions in operating costs by improving the EBITDA (operating profits) of Greek companies by 10% in horizon also 3 years. So if the companies manage the combined funds that will result from the reduction of tax rates on digital technology investments, then the Greek business scene at the end of 2025 will be significantly modernized.

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