ΤΑΧΑΤΙΟΝ IN GREECE

Currency: Euro (€)

Financial statements must be prepared annually.

• Individuals are resident in Greece if they are present in Greece for more than 183 days within any 12-month period. Individuals are treated as a Greek tax resident for the calendar year during which that 12-month period ends. Exceptions apply to individuals who visit Greece exclusively for tourism, medical, therapeutic, or similar personal purposes. Individuals also are considered resident in Greece if their center of vital interests is in Greece.

Resident individuals are taxed on their worldwide income. Non-residents are taxed only on Greek-source income.

Taxable income includes employment income, business income, income from capital (dividends, interest, royalties and rental income), and capital gains from the alienation of real estate and securities. Each category of income is taxed separately.

• A company incorporated under Greek law or that has its registered seat in Greece or its place of effective management in Greece at any time during a tax year is considered resident for tax purposes in Greece for that tax year.

Resident entities are taxed on worldwide income; non-resident entities are taxed only on Greek-source income. Profits of branches of foreign companies in Greece are computed in the same way as profits of legal entities and are taxed at the same rate.

Real Estate Transfer tax on acquisition

• single payment
• 3,09% of the taxable property value. Calculated on the higher between market and objective value of the real estate property
• As of 01.01.2020 there is a 3 years exception on the 24% Valued Added Tax (VAT) for new developments

Income & Rental tax

• 15% up to 12.000€ annual rental income
• 35% on the band over 12.001€ to 35.000€
• 45% on annual rental income over 35.001€

Annual Property Tax

• Annually imposed
• NO standard fee
• Main tax imposed on each property item and is determined by several factors such as the total size of the property, the price zone, the floor, the age of the building, the façade and other certain conditions
• In case of co-ownership the payment corresponds to the percentage of the ownership of the property

 

Inheritance/estate tax

• 1% to 10% tax rate for close relatives, levied on the tax value of real estate after the deduction of a tax-free amount and varies depending on the relationship of the taxpayer with the deceased
• 0% to 40% tax rate for other heirs

 

Corporate income tax

Imposed on a company’s total annual profits before the distribution of dividends, fees paid to directors out of profits, etc.

• 24% tax rate imposed on the annual profit of all legal entities before the distribution of the dividends, fees etc
• Greek credit institutions and Greek branches of non-resident credit institutions are subjected to 29% tax rate

 

Capital gains tax on the sale of real estate (for individuals)

Has been suspended until 31.12.2022

 

Value Added Tax (VAT)

VAT is imposed on the sale of goods and provision of services. The standard VAT rate is 24%.

 

Withhold tax

5% on corporate dividends

 

IMPORTANT NOTE: Please be informed that the information presented above is indicative and has to be verified with a professional auditor or a relevant specialized service provider. PPG Athens doesn’t hold the qualification of an auditing firm to deliver a 100% accurate tax related advice.