Average salary in Greece down 23 per cent in 2012, tax study finds

Brussels (dpa) - The average employee in Greece will be earning almost 23 per cent less this year, a study by tax consultancy Ernst & Young and two conservative think tanks revealed on Monday.

The report, published by New Direction, a research organization linked to the British conservative partys caucus in the European Parliament, and the Brussels-based Institute Economique Molinari, calculated the tax burden for "typical workers" across the EU.

For Greece, it showed that real net salary - net of income tax, social security contributions and value-added tax - was expected to be just 13,167 euros (16,820 dollars) in 2012. Last year, the same report had calculated it to be 17,024 euros.

By comparison, the net salary in Germany was estimated at 23,690 euros this year.

Because of this contraction, the tax burden on Greek workers is due to fall significantly, one of the authors of the report, James Rogers, told dpa.

In 2012, the so-called tax freedom day for Greek workers - marking the day of the year in which they finally earn enough to pay all their annual taxes to the state - is due to fall on May 31. In 2011, tax freedom was achieved only on June 12.

The report confirmed Belgians to be the most heavily taxed people in the EU, with their tax freedom day falling on August 5. Germany was exposed as the fifth-highest tax-levying nation, with its tax-freedom day on July 12.

The tax burden was found to be lightest in Malta, Cyprus, Ireland and Britain, where tax freedom falls between April 11 and May 12. dpa alv ncs Author: Alvise Armellini

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Average salary in Greece down 23 per cent in 2012, tax study finds

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