Volt: Tax incentives exacerbate inequality

In a statement, Volt refers to an article in «Phileleftheros» regarding tax incentives and their impact. According to Volt, the published data confirms that the current regime exacerbates inequality, creates two-tiered employees, and shifts the burden of fiscal revenues to low-wage earners.

The party rejects the extension of existing tax exemptions and calls for a revision of the proposed “Minds in Cyprus” legislation.

In its announcement, Volt recalls the principles of good taxation, such as effectiveness, simplicity, and adequacy, as well as horizontal, vertical, and intergenerational equality.

Volt proposes reducing the duration of the new tax resident incentive from 17 to 7 years and increasing the minimum annual income to €100,000, without retroactive effect. It also supports the automatic adjustment of tax brackets based on inflation and insists on measures against tax evasion.

It also proposes automatic registration of taxpayers, a simplified electronic asset declaration (Póthen Ésches), and targeted tax relief with specific added value.