Tax amnesty wipes out 453 million euros in tax debts, benefiting more than 220,000 businesses

The tax amnesty law has so far led to the write-off of 453 million euros in tax liabilities, the Tax Administration announced. According to its latest data, 220,435 businesses have benefited from the scheme, a number that keeps growing as implementation of the law is still under way.

Amnesty with and without conditions

The General Directorate of Taxes explains that the amnesty is applied in two forms for unpaid tax liabilities: some are extinguished unconditionally, while for others the write-off depends on the taxpayer meeting conditions. The institution presents the process as an opportunity to ease the burden of overdue liabilities that have weighed on businesses for years.

“According to the latest Tax Administration data, liabilities written off/extinguished have reached 453 million euros. The process continues, giving taxpayers the opportunity to ease the burden of overdue liabilities,” the tax authority's statement said.

What it means for businesses

For many small firms, old liabilities, fines and late-payment interest have been an obstacle to obtaining certificates of no outstanding debt, taking part in tenders or applying for loans. Writing them off removes an accounting burden and opens the way for them to get back in good standing with the tax authority.

The tax authority's statement gives no breakdown by type of tax, size of business or the year the liability arose. The new figure was published on the same day the Finance Ministry reported that tax and customs revenue in the first nine months of the year slightly exceeded the plan, at 401.9 billion lek.