Greece To Impose 33% Extraordinary Tax On Refinery Profits As 'Act Of Social Justice'

20.06.2024 15:27

Government expects over $320M income from this temporary tax, premier announces.

Greece is imposing a 33% extraordinary tax on profits of fuel refining companies as "an act of social justice," Prime Minister Kyriakos Mitsotakis said on Thursday.

"This is a fair decision due to the very high profits as a result of significant changes in the international oil market," he said during an interview with broadcaster Real FM.

​​​​​​​​​​​​​​The National Economy and Finance Ministry has announced a temporary contribution of 33% on excess profits of refining companies based on their results for tax year 2023.

Mitsotakis said the expected income of some €300 million ($321 million) will be used to support public finances and lowest-paid pensioners.

He rejected the notion that the move constituted a seizure of profits and that his government was punishing entrepreneurship.

On the issue of inflation and high food costs, the Greek premier said the government would seek to reduce shelf costs in supermarkets. "Everyone must realize that high prices undermine social cohesion," he added. -