The economic situation in Italy is "very serious and the state's accounts are a disaster", according to Economy Junior Minister Vincenzo Visco.
"We still do not have official figures, but what is surfacing confirms what we expected: the deficit is well over 4.5% of GDP".
Taking a political swipe at the previous center-right government of ex-premier Silvio Berlusconi, Visco said "it is now clear why the right is on the political offensive: what they left us with is devastating".
"The right is trying to distract public opinion now from the reality of the situation because while in power they presented a situation which did not exist," he added.
Looking towards the future, the former finance minister observed that "there are some signs for a modest recovery which Italy will try to latch on to. It will not be easy, but we can do it. What is important is that we change direction and recover some sense of ethics, honesty and intelligence".
Over the past five years of the Berlusconi government, Visco said, "people stopped paying taxes because it was more convenient to pay the fines for settling accounts later. We must make it clear to everyone that they must pay taxes because there will be no more tax pardons".
Turning his attention to Rome's promise to the European Union to bring its deficit back under 3% of GDP by the end opf next year, Visco said the problem was not trying to get a deadline extension because "if it was that simple we would have already asked for one. The problems we have are
structural".
According to Visco, "fighting tax evasion is not a battle against the tax payer. What is needed is good government, a positive relationship between the tax payer and the state, good laws and a public administration which works".
Visco also confirmed the government's intention to revise the tax structure and to reinstate an inheritance tax.
