“That means that we are not burdening the economy and the taxpayer with deficits and debts,” Harris Georgiades told the Parliamentary Committee on Development Plans and Public Expenditure Control, which discussed the 2014 annual report of the Auditor General.

The Minister said that taxpayers who do not pay immovable property tax will be brought to justice and that transfer of property will be impossible if there are outstanding debts to the state.

On the amount of tax that remains to be recovered, Georgiades said that only 10% out of the €2 billion can be recovered, as there are pending legal appeals amounting to €0.5 billion, while some legal entities are in liquidation or have gone bankrupt.

According to the Minister, the Governments tax incentives are yielding results, citing a 9% increase in transactions after the reduction of property transfer fees.

He also said that there is not much room to write off due VAT.

Source: Famagusta Gazette