Instead of supporting society, the government is resorting to populism and demagogy

 

5 April 2024, AKEL C.C. Press Office, Nicosia

The findings of the Audit Office in its recent report on the Tax Department, according to which €2.5 billion in taxes remain uncollected, reveal the significant fiscal room that the State has to provide support measures to society in the face of poverty and increased cost of living. It could well have proceeded to collect these taxes, using instruments already at its disposal.

However, the Nikos Christodoulides government invents new pretexts every day to avoid taking any substantial measures to combat price increase/expensiveness, proving that the real problem is not the State’s fiscal margins but rather its own absence of political will and a comprehensive plan to support society.

At the same time, the findings of the report – with regard to the handling of the bank’s tax obligations – are a reminder of the financial burden that has been placed on society so that the banks are currently in a position to record unimaginable profits.

In itself, the scandalous granting of such a tax subsidy to the banks should be a sufficient reason for the government to proceed immediately with AKEL’s proposal to tax the banks’ windfall profits, with the aim of creating a special fund to support borrowers and the victims of the banking crisis.

Instead, the government is resorting to populism and engaging in demagogy whilst continuing to serve the interests of the banks.

5.4.2024