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Generic Tax Name Personal income tax
Tax name in the national language Φόρος εισοδήματος φυσικών προσώπων
Tax name in English Personal income tax
Member State EL-Greece
Tax in force since 1994/01/01
If abolished, date on which the tax ceases to apply
Business version date 2012/01/01
Version date 2012/05/14
This file was last updated on

Type of tax
Direct taxes Personal income tax
Corporate income tax
Other

Indirect taxes VAT
Excise duty (EU harmonised)
Alcoholic beverages
Energy products and electricity
Manufactured tobacco
Other

Social security contribution Employers
Employees
Other
 
Legal base

Law No 2238/1994 ratifying the Income Tax Code (Government Gazette I, 151 A', 6 September 1994), as amended by Law No 2579/1998 (Government Gazette 131 A/17.2.1998) Law No 2992/2002, and Law No 3091/2002, Law No 3232/2004, Law No 3296/2004, Law No 3312/2005, Law No 3427/2005, Law No 3522/2006, Law No 3610/2007and Law No 3697/2008, Law No 3697/2008, Law No 3842/2010, Law No 3943/2011, Law No 4024/2011 and Law No 4038/2012.

 
Who sets
The tax rate is set by




The tax base is set by




The reliefs are set by




Comments
 
Beneficiary





Comments

 
Geographical Scope

Greece.

 
Taxpayers
Domestic-source income of non-residents is Taxed
Not Taxed
Comments

Employment incomes of married couples are Taxed jointly
Taxed separately
Comments

Spouses file a joint return but each spouse is liable for the tax payable on his or her share of the joint income.



Comments

Taxpayers

- Every Individual who derives income from sources in Greece is subject to tax irrespective of his place of domicile or residence. Moreover, every individual with place of domicile or residence (more than 183 days) in Greece is subject to tax on his/her worldwide income. Due consideration is given to bilateral conventions designed to obviate double taxation.

- An unclaimed estate.

- Limited and unlimited general partnerships, civil law communities carrying out a business or profession, civil companies, whether with profit-making intent or not, undisclosed companies, participation companies and joint ventures as referred to in Article 2 (2) of the Books and Accounts Code (Presidential Decree No 186/1992).

Obligation to file a tax return:

A. The individuals mentioned above who have a yearly taxable income of more than EUR 3.000 (or EUR 5.000 for income derived only from salaried work).

B. The individuals who derive income only from sources in Greece.

C. The following individuals, regardless of having taxable income or not:

- those who buy or possess cars, yachts or planes (with some exceptions)

- those who owe a personal business

- the self-employed

- those who participate in businesses

- those who buy or possess buildings

- those who possess houses (for personal use)

- those who are farmers (main profession)

- those who receive grants

- those who sell products in free markers

- those who cultivate green houses more than two acres.

Note:Spouses file a joint return but each spouse is liable for the tax payable on his or her share of the joint income. Losses incurred by one spouse may not be set off against the income of the other spouse. Deductible personal expenses concerning both spouses and tax credits are apportioned to each spouse according to the income earned by each one of them. Children under the age of 18 are, in principle, taxed jointly with their parents.

 
Tax object and basis of assessment
As general rule, taxable income under personal income tax includes























Comments

Income considered Domestic income
Worldwide income (subject to double-tax relief)
Comments

Benefits in kind
The following benefits in kind are usually (partially or fully) taxable












Comments


Comments

Total income of all categories (e.g. income from immovable property, salaries, enterprises etc.).

In order to determine the tax payable on the total net income of each taxable person, the different categories of income are summed up and positive and negative figures are netted out.

Where provided for by Law, allowances and expenses are then deducted and the remainder constitutes the taxable income. Income tax itself, fines and other taxes are not deductible.

 
Deductions, Allowances, Credits, Exemptions
Deduction for professional expenses.
The deduction is:





Comments

Deductions from the tax base
The following items are usually (partially or fully) deductible

















Comments

Allowances
The basic yearly allowance for an individual amounts to: 5,000.00  EUR/National currency
The basic yearly allowance for a couple amounts to: 10,000.00  EUR/National currency
Additional allowance for 1st child 2,000.00  EUR/National currency
Additional allowance for 2nd child 2,000.00  EUR/National currency
Additional allowance for 3rd child 3,000.00  EUR/National currency
Additional allowance for additional child 3,000.00  EUR/National currency
Additional allowance for old age dependents 2,000.00  EUR/National currency
Comments

The untaxed amount of income in respect of dependent children is increased as follows:

-by €2.000 for one child

-by €4.000 for two children

- and by €3.000 more for each child above two

If no liability for tax arises from the application of the taxation scale, or the liability is less than the total of the above reductions, the full amount of the reductions or the difference is deducted from the tax payable by the spouse, as calculated on the basis of the scale.

Furthermore, the untaxed amount of income of a handicapped taxpayer (invalidity over 67%) or of any handicapped person (invalidity over 67%) living with the taxpayer and depended upon him, is increased by €2.000.

 Persons living abroad and deriving income from a Greek source are not entitled to the above tax reductions, unless they are residents of the European Union Member States and the income they derive from a Greek source exceeds 90 % of their total income.

 

Deductions (expenses of enterprises)

In order to determine the net taxable income of enterprises keeping accurate 3rd and 2nd category Books (Code of Books and Accounts) a number of expenses are deducted, such as:

-payroll and remuneration of staff

-insurance premiums in cases of team life insurance schemes for the staff, including lump sums and regular payments

-donations of money as deducted from the taxable income of private individuals (see above)

-expenses for the maintenance and repair of buildings and cars, in proportion to their size and value and according to specifications laid down by law

-the value of raw materials used in production, as well as of other trade goods including special expenses on transportation, storage etc

-rights and charges paid to enterprises and organisations for the use of technical assistance, novelties, trade marks, industrial methods, intellectual property etc, - according to specifications laid down by law

-it has to be noted that if the provider of the above goods and services is an off-shore company, the expenses are not deducted, save for specific cases such as the purchase of petroleum products etc.

-expenses for scientific and technological research, according to specifications laid down by law


Credits
The basic yearly credit for an individual amounts to:
The basic yearly credit for a couple amounts to:
Additional credit for 1st child
Additional credit for 2nd child
Additional credit for 3rd child
Additional credit for additional child
Additional credit for old age dependents
There are tax credits for:

















Comments

Tax credits

The following tax credits are deducted from the payable amount of tax, as calculated on the basis of the scale:

1.       10 per cent of the expenses of hospital care of the taxpayer and his/her dependents. The total credit cannot exceed €3.000. Hospital expenses in respect of unmarried or widowed children who suffer from an incurable disease, who are mentally retarded or are blind and whose total annual income does not exceed €3.000 are also included.

2.       a. 10 per cent of the total annual amount of rent paid for the taxpayer’s main residence, not exceeding €1.000, provided that the taxpayer or his dependents do not own a dwelling with a surface equal to or larger than the rented dwelling in the same region and that the taxpayer does not receive any rent allowance from the state (the tax credit cannot exceed   €100).

b.10 per cent of annual rent paid for the dependent children who are studying at a recognized educational establishment in Greece up to a maximum of €1.000, provided that the dwelling is situated in the same region of the school or university (the tax credit cannot exceed  €100).

Note: All expenses have to be declared; they are calculated jointly for both spouses and are attributed to each spouse according to their declared income.

3.       10 per cent of the educational expenses incurred by the taxpayer for himself or for his dependent children up to a maximum of €1.000 per person.  The expenses paid by divorced parents are also included (the tax credit cannot exceed €100 for each child separately).

Note: All expenses have to be declared; they are calculated jointly for both spouses and are attributed to each spouse according to their declared income.

4.       10 per cent of the annual interest of mortgage loans for the main residence of the taxpayer. The relief is limited where the financed amount does not exceed   € 200.000 and the residence does not exceed 120 square meters.

5.       10 per cent of the interest paid on loans granted for by banks and other credit institutions for the restoration, maintenance or improvement of scheduled buildings and buildings located in areas classified as traditional urban districts or as traditional settlements. The amount of the deduction is calculated upon the interest derived from the part of the loan that does not exceed €200.000.

6.       10 per cent of the insurance expenses for life/death/accident/sickness for the taxable person, his/her spouse or their dependent children. This also includes the expenses for child insurance paid annually by divorced parents. The tax credit cannot exceed €120 for a single taxpayer and €240 for a family.

7.       10 per cent of the amount of alimony that is paid to a spouse and is adjudicated/or agreed by notary deed. The tax reduction cannot exceed €1.500.

8.       a. 10 per cent of the total amount of donations to the State, municipalities and communities, state universities, the church, the monasteries of Mount Athos, the World Patriarchate of Constantinople, the Patriarchate of Alexandria and Jerusalem, the Sacred Monastery of Mountain Sinai, the state and municipal nursing homes and hospitals which are subsidized from State budget and the Archaeological Resources Fund.

b. 10 per cent of the total amount of donations to public or private non-profit legal entities which have been or are being legally constituted for cultural purposes.

c. 10 per cent of the amounts donated to philanthropic institutions, non-profit making bodies which provide educational services or grant scholarships, Greek legal entities governed by private or public law which have been or are being set up for philanthropic purposes.

Note: The total amount of all the above donations cannot exceed 10 per cent of the total income that is taxed by the general provisions.

9.       10 per cent of the amount spent on the installation of natural gas system, solar panel systems, thermal insulation, teleheating systems e.t.c.. The tax credit cannot exceed €300.

10.    10 per cent of legally compulsory contributions to social security funds, and optional contributions to legally constituted funds.

11.    € 60 in respect of each dependent child for taxpayers with employment income living for at least 9 months of the year in certain border areas or in certain islands. In case of a married couple, at least one spouse must satisfy these requirements in order for his/her family to receive this deduction.

 

Note: Taxpayers who reside abroad but derive taxable income from sources in Greece are not eligible for these deductions, with the exemptions of residents of the EU Member States who derive at least 90 per cent of their total income from sources in Greece.

 

Spouses

As regards second category deductions (i.e from the payable amount of tax), when the wife derives income deemed taxable on the basis of the scale, then the following are deducted from her own payable amount of tax: a) medical expenses of the wife, her children from a former marriage, her children born out of wedlock, her parents and orphaned relatives of first and second degree of kin b) interest arising from first-home loans c) deductions for children afforded because of service in border areas.

If from the joint tax return submitted by the spouses no tax obligation arises for one of them, or the payable amount of tax is less than the sum of the deductions (medical expenses, rent of main residence or residence of children who are studying, expenses for additional outside or home tuition, deductions for children because of service in border areas) then the whole amount of the deductions or the ensuing difference is attributed to the payable tax of the other spouse.


Losses
Losses can be
Carried-forward for Indefinite
 Years
Carried-back for Indefinite
 Years
Transferred to spouse or partner
Comments

The losses of income from commercial and agricultural undertakings manifest in 3d and 2d Category Books (Accounting Information Code - e.g public limited companies) may offset taxable income from other sources or be carried over for the next five years, provided that the books are properly and accurately kept over that period. Losses incurred abroad can only be offset against income derived abroad.


Exemptions
The following income is exempted from income tax























Comments

Some forms of income, specified by Law (art.6 of Law No 2238/1994, as amended) are exempt from the tax.

Examples:

  • on condition of reciprocity, income of all kinds derived abroad by foreign ambassadors and diplomatic representatives
  • on condition of reciprocity, income from salaried services derived by consuls, consulate agents and employees of embassies and consulates that have the nationality of the represented State
  • gross imputed income from residence of self-owned house (for income effected from 1.1.2003)
  • imputed income deriving from the gratuitous granting of the use of house up to 200 square meters total by parents to children and vice-versa, provided that the house will be used as residence
  • profits from the operation of ships under the Greek flag, where such profits are subject to the special taxation on ship owners’ profits
  • all forms of pensions and relief provided to war victims and their families, as well as to soldiers and military personnel injured in the course of their duties in times of peace
  • salaries, pensions etc paid to totally blind individuals or to heavily (over 80 %) mobility impaired individuals. Also non-institutional relief and the additional amount of pension paid to blind individuals and persons totally dependent for their care on others because of invalidity
  • the amount of grants and scholarships lawfully awarded by the Greek State, public entities or private charitable funds as specified by Law, provided that they are proven to be pursuing objectives beneficial to the Nation, or religious, educational, artistic, philanthropic etc ones; also grants and scholarships paid by foreign States, organisations and funds to Greek citizens
  • money awards paid by the State, the Academy of Athens or the Organisation of the “Music Hall” (“Megaro Mousikis”) to reward scientific, artistic and generally intellectual performance
  • financial aid to recognised political refugees residing temporarily in Greece as well as to persons that have submitted the relevant application to the competent Greek authorities, paid by bodies carrying out refugee aid schemes financed by the UN, the EU or the Greek State
  • subsidies paid to young professionals and entrepreneurs within the framework of employment programmes of the National Employment Organisation (OAED), as specified by Law
  • subsidies paid to young professionals and entrepreneurs
  • benefits for third child or more.

 

Exemptions from tax on savings:

  • Interest on any form of savings accounts of foreign currency held by non-residents in banking institutions established in Greece or the Greek Postal Savings Bank.
  • Interest deriving from voluntary demand deposits or savings accounts in foreign currency held by non Greek residents in Consignments and Loans Fund.
  • Savings deposits with the sole purpose the issue of a housing/mortgage loan for the acquisition of the main residence
  • Deposits held by banking institutions, of the form of a mere cooperative credit institution, held in others banking institutions (including compulsory or not deposits in the National Bank of Greece), as well as deposits held by the Consignments and Loans Fund in the National Bank of Greece.


Comments
 
Rate(s) Structure
The following personal income tax rates apply to aggregate annual income (allowances not included)
Bracket 1 From  0.00  EUR/Natcur
To  5,000.00  EUR/Natcur
Rate: 0.00 %
Bracket 2 From  5,001.00  EUR/Natcur
To  12,000.00  EUR/Natcur
Rate: 10.00 %
Bracket 3 From  12,001.00  EUR/Natcur
To  16,000.00  EUR/Natcur
Rate: 18.00 %
Bracket 4 From  16,001.00  EUR/Natcur
To  26,000.00  EUR/Natcur
Rate: 25.00 %
Bracket 5 From  26,001.00  EUR/Natcur
To  40,000.00  EUR/Natcur
Rate: 35.00 %
Bracket 6 From  40,001.00  EUR/Natcur
To  60,000.00  EUR/Natcur
Rate: 38.00 %
Bracket 7 From  60,001.00  EUR/Natcur
To  100,000.00  EUR/Natcur
Rate: 40.00 %
Bracket 8 From  100,001.00  EUR/Natcur
To   EUR/Natcur
Rate: 45.00 %
Comments

Above rates are applicable for salaried persons, non salaried persons, self employed and pensioners and refer to income earned in 2010. More detail below:

 

SCALE: Salaried persons, Non salaried persons, self employed and pensioners. Income earned in 2011.

Step (euro)

Rate %

Tax for the step (euro)

Total Income (euro)

Total Tax  (euro)

      5,000

0

0

5,000

0

             7,000

10

700

12,000

700

             4,000

18

720

16,000

1,420

    10,000

25

2,500

26,000

3,920

    14,000

35

4.900

40,000

8,820

    20,000

38

7,600

60,000

16,420

    40,000

40

16,000

100,000

32,420

Above 100,000

45

 

 

 

   

  • If the total income includes income from  real estate, apart from generally exempted income from residence of self owned house (see above), the gross amount thereof is subject to an additional tax of 1.5 %. The rate is raised to 3 % where the surface area of such residence is greater than 300 square meters. The amount of additional tax may not be greater than the amount payable on the taxpayer's total net income.
  • There is a tax-free threshold of €5,000, subject to the submission of legal invoices (the value of invoices needed is calculated as a percentage of the taxable income). The tax-free threshold is not granted if the taxpayer fails to file with the tax authority a series of invoices.

Should the taxpayer be able to file with tax authority invoices of a higher value than the one required for the tax-free threshold, he is entitled to a reduction of the payable tax by an amount equal to 10% of the exceeding value. Should the value of invoices be less than the one required for the tax free threshold, a 10% income tax is imposed on the remaining amount.


Regional taxes
Regional taxes are (rate in capital region) A lump-sum amount:
A percentage of income:
A tax surcharge:
Comments

Local/municipal taxes
Local taxes are (rate in capital city) A lump-sum amount:
A percentage of income:
A tax surcharge:
Comments

Special surcharges
There are special surcharges in the form of:
Comments

Separate taxation
Separate taxation applies to the following items: Employment income
Income from business or self-employed activities
Income from sport and entertainment activities
Benefits in kind (company car, meal cheques, etc)
Pension income
Owner-occupied immovable property
Dividends 25.0 %
Interests from government bonds 10.0 %
Interests from corporate bonds 10.0 %
Interests from special saving accounts 10.0 %
Interests from deposits 10.0 %
Royalties 20.0 %
Income from renting immovable property
Income from renting movable property
Capital gains on immovable property
Capital gains on movable property
Inheritance
Annuities from life insurance
Prizes and awards
Scholarships
Income from occasional activities
Revenues from donations and gifts
Revenues from lotteries and games activities
Comments

Income from Dividends

Individuals-tax residents in Greece, are taxed on the basis of the personal income tax rate scale with respect to the dividend that they receive, but are subject to a different treatment depending on their total income. Tax liability on dividend is exhausted regarding individuals whose total income is subject to a maximum rate higher than 25% (or 21% regarding dividends received within 2011), but general provisions are applied regarding those whose total income is subject to a maximum tax rate lower than 25%.

Tax on savings

Domestic Savings:

  • Income tax at a rate of 10 % is levied on interest deriving from any form of saving accounts held in any credit institution established in Greece held by natural entities or legal entities as defined in paragraph 4, article 2 on the Income Tax Code (general or limited partnerships, etc), domestic banking and insurance institutions, branches of foreign banking institutions, co-operatives and non-profit organizations. The tax is withheld by the institution liable to pay interest, disbursed within 15 days from the end of the month in which interest was earned and that exhausts the tax liability regarding this income.
  • In case of corporations, limited liability companies, public or municipal companies, as well as, local branches of foreign enterprises except banking or insurance institutions, interest deriving from saving accounts is taxed according to general taxation. Withheld tax of 10% on interest is counterbalanced.
  • When the beneficiary is an EU resident (with the provision of residence certificate), interest is not taxed in Greece. All relevant documentation is sent to the country of residence and interest is taxed in the country of residence (exchange of information according to the provisions of EU Directive 48/2003).
  • When the beneficiary is a non EU resident but resident of a country with a double taxation convention with Greece, terms of convention apply.

Exemptions:

  • Interest on any form of savings accounts of foreign currency held by non-residents in banking institutions established in Greece or the Greek Postal Savings Bank.
  • Interest deriving from voluntary demand deposits or savings accounts in foreign currency held by non Greek residents in Consignments and Loans Fund.
  • Savings deposits with the sole purpose the issue of a housing/mortgage loan for the acquisition of the main residence
  • Deposits held by banking institutions, of the form of a mere cooperative credit institution, held in others banking institutions (including compulsory or not deposits in the National Bank of Greece), as well as deposits held by the Consignments and Loans Fund in the National Bank of Greece.

Interest paid by Greek Individuals to beneficiaries abroad:

As regards, interest paid by Greek individuals to beneficiaries abroad a 40% tax is withheld by the individual paying the interest. The intermediary bank may deny remitting the remaining interest amount abroad unless a payment certificate for the corresponding tax withheld is submitted to it.

Tax is due on interest derived from loans which is at least equal to the one resulting by applying the minimum interest rate of interest-bearing treasure bills of three month duration.

Savings Abroad:

  • As regards interest deriving from savings abroad held by natural entities, 10% tax is levied by the banking institution liable to pay interest and exhausts the tax liability regarding this income.
  • As regards interest deriving from savings abroad held by legal entities (corporations, limited liability companies, etc), 10% tax is levied by the banking institution liable to pay interest. Savings are taxed under general taxation and withheld tax of 10% is counterbalanced.

Greek government bonds (art. 12 Income Tax Code):

  • As regards interest on Greek government bonds held by natural entities or legal entities as defined in paragraph 4, article 2 on the Income Tax Code (general or limited partnerships etc), banking or insurance institutions established in Greece, as well as local branches of foreign banking or insurance institutions, cooperatives and non-profit organizations, 10% income tax is levied on interest deriving from Greek government bonds and that exhausts the tax liability regarding this income.
  • As regards interest on Greek government bonds held by corporations, limited liability companies, public or municipal companies, as well as, local branches of foreign enterprises except banking or insurance institutions, interest deriving from Greek government bonds is taxed according to general taxation and withheld tax of 10% is deducted
  • In cases when the holder is a natural entity, EU resident, relevant documentation is sent to the country of residence and interest is taxed in the country of residence.
  • As regards accrued interest earned by Greek residents upon the transfer of Greek government bonds or coupons before their maturity, 10% tax withholding is imposed. If the transferred security is owned by the bank, the latter is required to pay the tax.

Exemptions:

  • Interest on government bonds held by non-residents (according to paragraph 1, article 31, Law 2682/1999)
  • Interest on government bonds with maturity two years or longer, provided that the primary holder retains the titles as well as the interest coupons until their maturity (paragraph 11, article 12 of the Income Tax Code).
  • Interest on government bonds issued abroad by the Greek State from 1st January 1997 onwards (paragraph 9, article 12 of the Income Tax Code).
  • Interest on interest bearing bills issued by the Greek State from 1st January 2003 onwards, provided that the primary holder is a private person, non EU resident, who acquires the interest bearing bills within 5 working days following the day of issue and retains them until their maturity.

Greek corporate bonds:

Interest deriving from private companies’ bond loans falls under the same taxation as interest deriving from government bonds (paragraph 8, article 26, Law 2789/2000), without any obligation of retaining the titles.

Foreign government bonds:

  • As regards interest deriving from foreign government bonds held by natural entities or legal entities as defined in paragraph 4, article 2 on the Income Tax Code (general or limited partnerships, etc), 10% tax is levied on deriving interest and exhausts the tax liability regarding this income.
  • As regards interest deriving from foreign government bonds held by (established in Greece) corporations, limited liability companies, public or municipal companies, as well as, local branches of foreign enterprises except banking or insurance institutions, interest deriving from foreign government bonds is taxed according to general taxation and withheld tax of 10% is deducted.
  • As regards bonds issued abroad that are transfered before maturity, 10% income tax on deriving interest corresponding to the period of acquisition is withheld by the intermediate Greek banking institution, independently of whether the interest is returned to Greece or is reinvested abroad.
  • As regards accrued interest earned by Greek residents upon a transfer of foreign bond or coupon, 10% tax is imposed.

 Income taxed individually

Some forms of income are taxed individually, and the payment of such tax exhausts the tax liability regarding this income. Examples:

  • a tax of 20 % is levied on the profit or gain deriving from the transfer of a whole enterprise (material and immaterial elements) or branch, as well as the transfer of participation rights of personal companies. Much lower rates (5 % and 10 % respectively on the profit or gain) apply when such transfer takes place between relatives of first and second degree of kin (parents and children, spouses etc) and in some cases a total exemption is granted (e.g. transfer of personal companies or participation rights of personal companies from parents to children or between spouses, in case of retirement and only if the company does not own real estate property).
  • a tax of 20 % is levied on the profit or gain deriving from the transfer of any right connected to the operation of an enterprise or the exercise of a profession
  • a tax of 20 % is levied on any sum of money paid by the lessee to the lessor other than rent
  • transfer of shares of non listed companies is taxed at 5 % on the price of the sale
  • the legal remuneration of architects and mechanics that have designed and supervised the construction of a building for sale, is deducted by 10 % and taxed with a rate of 15 % plus a 15 % levy in favour of the Agricultural Insurance Organization (OGA) on the tax amount
  • a tax of 25 % is levied on the remuneration paid by the Greek State, municipalities, the Greek Organisation for Tourism, the Greek Opera House etc to foreign artists for performing in Greece

Tax on the transfer of listed shares

A tax of 2‰is levied on the sale of shares listed in the Athens Stock Exchange Market for transactions effected in it. The tax is calculated upon the price value of the share and must be paid by the vendor, whether natural person or legal entity and regardless of his nationality, place of residence or establishment etc. This tax is also levied on sales of shares listed in foreign Stock Exchange Markets.

Sales of shares affected by Special Negotiators (Law No 1806/98, art 22 A) are exempt from the tax.


Withholding taxes
The tax is withheld when paid to residents on: Dividends: 25.00 %
Final Creditable
Interests from governments bonds: 10.00 %
Final Creditable
Interests from corporate bonds: 10.00 %
Final Creditable
Interests from special saving accounts: 10.00 %
Final Creditable
Interests from deposits: 10.00 %
Final Creditable
Comments

For dividends received within 2011, the withholding tax rate was 21%, whereas from 2012 onwards, the withholding tax  is 25%. The tax liability on dividend is exhausted regarding individuals whose total income is subject to a maximum rate higher than 25% (or 21% regarding dividends received within 2011), but general provisions are applied regarding those whose total income is subject to a maximum tax rate lower than 25%.



Comments
 
Tax due date

The tax can be paid in three equal monthly instalments. If the tax is fully paid due time, a deduction of 1.5 %  is offered.

 
Tax collector

Ministry of Finance.

 
Special features

Municipalities-local authorities are beneficiary of the revenue for: 20 %.

Married couples

Spouses must submit a joint tax return, except in certain cases specified by Law. Taxes, duties and levies on the income declared in the joint return are calculated separately for each one. Losses by one spouse can not be offset against the income of the other. The income of one spouse is added to that of the other and taxed as if it were the latter’s if it accrues from a business that is financially dependent on that other spouse.

Children’s own income

The income of minor children is added to that of the parent with the larger total income before that income is added up and is taxed in that parent’s name. If the latter does not have custody of the child, the minor’s income is added to that of the other parent and taxed in that parent’s name. Where the parents’ total incomes are equal, the income of their minor children is added to the father’s income provided that he has custody. The children’s income deriving from parental contribution or gifts of assets is added to the income of the parent who made the contribution or the gift. In certain cases specified by law, a minor child has a personal tax obligation in respect of any income.

Non-residents

Generally, non-residents are taxed in the same way as permanent residents, subject to any bilateral conventions between Greece and other countries designed to avoid double taxation.

In the case of persons residing abroad and deriving income from Greece, an additional tax calculated at 5 % is added to the amount of tax corresponding to the first step of the scale. This provision does not apply to persons living in the Member States of the European Union, for whom income received in Greece exceeds 90 % of their total income.

Presumptions of income

The ownership of certain “luxury” goods, such as houses (first house and second houses), cars, leisure boats, private planes and helicopters, swimming pools, suggests that the taxable person disposes of a minimum amount of yearly income to provide for the goods’ expenses (preservation, circulation etc). This amount is determined by the tax authorities according to certain objective criteria relating to the goods’ size, age etc. The taxable person can challenge this “presumption” in certain cases laid down by Law (unemployed persons, persons co-habitating with their parents, serving in the army, underage orphans, incarcerated or hospitalised persons and anyone that can prove force majeur), by producing conclusive proof that the actual expenses were lower.

Special features (Partnerships and other entities)

Partnerships under Greek law may be either unlimited or limited general partnerships. Other types of entities (apart from corporations) subject to income tax are joined ventures, civil companies and undisclosed companies. Partnerships are currently taxed at 25%. Especially for the profit of unlimited partner (only for individuals) the tax rate is 20%. Joint ventures, civil companies and undisclosed companies are currently taxed at 25%. This rate is imposed  after deduction of:

  • profits which are not liable to tax or are taxed separately (e.g. the sums paid as professional fees to partners and taxed in their name, as personal income deriving from commercial enterprises)
  • profits on dividends from Greek public companies or cooperatives, profits from mutual funds, or profits from holdings in limited liability companies or in taxable legal persons (general and limited partnerships etc.);
  • in the case of general and limited partnerships and partnerships under the law of succession in which the participants include minors, profits remaining after application of points 1 and 2 above are reduced by the amount of professional fees, for up to three natural persons who are general partners or are the participants with the biggest share in the partnership.

The payment of this tax discharges the tax liability on the profits of the individuals participating in such legal persons.

 
Economic function







Comments

 
Environmental taxes



Comments
 
Tax revenue
ESA95 code d51m (d51ab)

Year
Annual tax revenue (millions)
Currency
Tax revenue as % of GDP
Tax revenue as % of total tax revenue
2010 9,869.00 EUR 4.37
2009 11,469.00 EUR 4.83
2008 11,226.00 EUR 4.64
2007 10.51 EUR 0.01
2006 9.50 EUR 0.00
2005 8,612.00 EUR 4.32
2004 7,800.00 EUR 4.03
2003 7,052.00 EUR 3.94
2002 6,614.00 EUR 4.05
2001 6,068.00 EUR 3.99
2000 6,154.00 EUR 4.30
1999 5,369.00 EUR 3.84
1998 4,750.00 EUR 3.68
1997 3,535.00 EUR 2.80
1996 2,735.00 EUR 2.38
1995 2,215.00 EUR 2.12

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