Greek government will extend the suspension of VAT on newly built properties.

Macro/Political:

• According to the press, the suspension of the 24% VAT on newly built properties will be extended for one more year, until the end of 2026, as part of the government’s effort to boost construction activity and address the acute housing shortage. Official announcements are expected from Greek PM Kyriakos Mitsotakis at the Thessaloniki International Fair, as the measure will be included in the government’s package alongside other initiatives aimed at increasing housing supply and providing solutions to the housing problem. Industry insiders note that, after several consecutive extensions, the measure appears to be moving toward permanent abolition.
  Source: Capital.gr 

Macro/Political:

• In response to statements by political parties and organizations concerning the tax reform promoted by the Government, the Ministry of Finance, in an announcement, stated that the goal of the reform, whose necessity for the future of the Cypriot economy is widely acknowledged, is to strengthen economic competitiveness, support Cypriot entrepreneurship, sustain the upward trend in foreign investment, ease the tax burden on the middle class, and combat tax evasion and the shadow economy. The Ministry also expressed surprise that some parties appear to oppose the measures against tax evasion and the shadow economy included in the relevant bills, noting that studies show the shadow economy, driven largely by tax evasion and avoidance, accounts for around 25% of Cyprus’ GDP.
  Source: Ministry of Finance