Greek taxation follows the basic standards of the other European countries. Most of their tax rates are close to the other rates world-wide, but they do have a larger VAT than most other countries. All individuals in Greece who qualify as permanent residents and who have an income over 3,000 euros are taxed on their income. Income taxation in Greece is progressive, which is similar to most systems throughout the world. Employers deduct 16% of each of his employee’s salary and contributes it to social security along with 28.06% of the employer’s salary. The corporation tax rate in Greece is 25%. Corporations are only taxed on income that is made in Greece. At the start of the last decade, much of the taxes went to preparations leading up to the 2004 Olympics in Athens, Greece. There was a strong concern that Greece would not have enough money to host the Olympics, and taxes were raised. $1.2 billion was spent alone on security. The Olympics were a great success for Greece, but most people agree that it was the cause for their financial crisis last year: Money was spent on buildings necessary for the Olympics, but these buildings are no longer being used.