This special regime to reduce outstanding amounts owed to the social security system and tax office, was approved by the cabinet late last week, allowing tax payers to avoid interest payments if they pay everything they owe, or part of the interest, in up to 150 monthly instalments.
The regime applies to tax payers who did not pay what they owed the tax office up until the end of May this year or the social security contributions up until the end of last year. The system is open until 20 December.
This is not the first time governments have used this technique to collect extra cash at the end of the year. In 2013, the centre-right government of Passos Coelho amd Paulo Portas launched a similar system and before that, in 2003, there was a plan for individuals and companies with outstanding tax or social security debts were giving them up to 150 months to pay what they owed.