First revisions supplied by Athens include higher VAT rates

Progress by the paragraph was in order on Tuesday, as the cash-strapped Greek government finally sent “alternative proposals” to creditors, with an increased VAT rate (12 percent) envisioned for the medium rate.

Another revision was a higher target for the 2015 fiscal year, upped to 0.75 percent of GDP and 1.75 for 2016 — with the former target coming amid an ongoing… recession.

The SYRIZA governments wants to generate an extra one billion euros from the VAT hikes, including the lower rate from 6 to 6.5 percent.

It’s also not clear if the government will back down on creditors’ demands to abolish a 30-percent discount on VAT for the Aegean islands — some of the most financially healthy parts in otherwise recession-plagued Greece.

Of course, consumers’ interest isn’t if VAT will be raised on … theater tickets and periodicals but on grocery items, and which ones, and power bills.