DISY chairman Averof Neophytou said that he considers it an imperative for the parliament to facilitate the repatriation of capital held by Cypriots abroad, even as he rejected this could come in the form of a tax amnesty.
“We have to do whatever we can to repatriate Cypriot funds,” Neophytou, who was commenting in an interview to the Cyprus New Agency, said. “I could discuss this with other political parties on a principle: that we give the opportunity; it is an imperative to undertake steps to repatriate funds to Cyprus but based on the existing tax rate. I don’t believe there should be a tax amnesty”.
This will help avoid creating “two classes of taxpayers,” Neophytou said. He added that he did not consult the government on this matter. “Also the last time when there was a tax amnesty, it was following an initiative of the parliament”.
In 2004, the parliament passed a law offering an amnesty to tax dodgers, which generated £119.4m or €204m in revenue for the government.
Any arrangement aiming at helping Cypriots repatriating funds “should be accompanied by the strictest rules to ensure avoiding laundering black money,” Neophytou said. State revenue from the arrangement which will help repatriate Cypriot funds should flow to holders of bank bonds, depositors and bank shareholders who lost money in Cyprus’s banking crisis, and members of vulnerable groups.