Special topics

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New Tax on Pension Income of Non-Habitual Residents

By virtue of Law No 4714/2020 a new alternative tax regime for foreign pensioners is introduced, by the addition of a new article 5B in the Greek Income tax code (Law 4172/2013- ITC) with effect as of tax year 2020 onwards. It applies to individuals, earning pension income arising from abroad, as defined in Article 12 of the Income Tax Code, who transfer their tax residence in Greece. The following circumstances must be met: they have not been Greek tax resident for the previous five (5) of the six (6) years before the transfer of their tax residence in Greece,...

20 Sep 2022

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Greek golden visa for investors (residence permit for 5 years) – Eligible investments and monetary thresholds.

in Immigration Law, Special topics

Investments of €400.000 and above (Article 16 of Law 4251/2014) a capital contribution of at least €400,000 to a company having its registered office or establishment in Greece, with the exception of Portfolio Investment Companies and, without prejudice to sub-paragraph b', Real Estate Investment Companies, for the acquisition of shares in a share capital increase or bonds in the issuance of a bond loan, which are admitted to trading on regulated markets or multilateral trading facilities operating in Greece a capital contribution of at least four hundred thousand (400,000) euros to a Real Estate Investment Company Limited by Shares (REICT),...

19 Sep 2022

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Extract from Circular POL 1026/2014

1. Any taxpayer who is tax resident in Greece and, within any tax year, incurs foreign-sourced income for which he has been taxed abroad, is required to submit the following documentation to the tax authorities together with the submission of his income tax return, in order to benefit from the foreign tax credit provided by article 9 par. 1 of L. 4172/2013 (the Greek Income Tax Code): − For countries with which there is a Double Tax Treaty in place, a certificate from the competent foreign tax authority evidencing the tax paid abroad. − For other countries, with which there is no...

19 Sep 2022

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Basic legal framework for employment in Greece

in Labor & Employment, Special topics

Working time In all sectors of work without exception and in all sectors of economic activity, full-time work shall be 40 hours a week, which may be allocated over a 5- or 6-day working week. Τhe full contractual working hours may be distributed on a five-week or six-day basis as provided for, amounting to eight (8) hours per day, whereas where a six-day working week system is applied, the full working hours shall amount to six (6) hours and forty (40) minutes per day. The possibility of adopting a four-day full-time system of forty (40) hours per week and ten (10) hours...

16 Sep 2022

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Declaration of UK real estate income by Greek tax residents

The income from property located abroad is taxed in Greece according to the following tax scale: Income from property (€) Tax rate (%) 0 - 12.000 15% 12.001 - 35.000 35% 35.001 - ….. 45% It should be noted that expenses up to 5% of the gross income of foreign origin may be accepted for deduction for repair, maintenance, renovation or other fixed and operating costs of real estate that generates taxable income, regardless of its type and use, excluding income from leasing, free concession, owner-occupation of land and premises for the installation of signs. Αs regards the income from property located in UK, the Double Taxation Agreement between Greece...

16 Sep 2022

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Rules for Controlled Foreign Companies (CFCs)

The provisions of Article 66 of the Greek Income Tax Code (ITC) were amended as of 01.01.2019 by virtue of the provisions of Article 12 of Law 4607/2019 for the purpose of harmonization with Council Directive 2016/1164/EU (ATAD) and implementation of the BEPS results (final report - action 3), in order for Member States to limit the artificial diversion of income to companies and permanent establishments established in low-tax countries within and outside the European Union. In particular, the new provisions for "Controlled Foreign Companies", which relate to the inclusion in the taxable income of non-distributed income of a legal person...

30 Aug 2022

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Marriage procedures for foreign nationals in Greece

in Civil Law, Special topics

Regarding marriage within the Greek territory, between foreign nationals, who do not have the Greek nationality and they don’t reside in Greece, the needed documents are described in the document no 71160 issued on 22th October 2020 by the Ministry of Interior – Directorate General home Affairs, as follows: Marriage license issued from the country of residence Birth certificate Both documents should be translated and validated (with Apostille Stamp or Consular Stamp, depending on the country of origin) A residence permit or VISA/legal short term stay, whose validity period has not expired (not required for E.U. citizens) A valid passport or...

26 Aug 2022

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Greek S.A. company – transactions with related parties

in Commercial Law, Special topics

Article 99 of Law 4548/2018 (valid from 01.01.2019), which incorporated Directives 2007/36/EC and 2017/828/EU, provides that the conclusion of any contracts of an S.A. company with specific persons which are referred to as related parties, as well as the provision of securities and guarantees to third parties in favor of these persons, without special approval provided by a decision of the board of directors or by exception of the general meeting of shareholders, is prohibited and invalid. The persons (individuals or corporations) that are considered connected to the S.A are: a) for listed S.A. companies, the persons defined as connected to...

25 Aug 2022

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Acquisition of Greek citizenship by holders of “Golden Visa”