2016-2017 Greek Tax Facts
- Tax Experts
- Jun 5
- 2 min read
August 17, 2016
This article features essential 2016-2017 Greek Tax Facts and updates on VAT changes, income tax reforms, property levies, social security rules, and penalties for unpaid debts.
Individuals Taxation
Tax Residency
Greek tax residents are taxed on their global income.
Non-Greek tax residents are taxed only on income generated in Greece.
Income Tax Rates for Employees, Retirees, and Self-Employed
Taxable Income (€) | Tax Rate |
0 – 20,000 | 22% |
20,001 – 30,000 | 29% |
30,001 – 40,000 | 37% |
40,001 and above | 45% |
Tax Reductions (for wage earners & pensioners only)
Up to €20,000 taxable income:
€1,900 reduction (no children)
€1,950 (1 child)
€2,000 (2 children)
€2,100 (3+ children)
The reduction decreases by €10 for every €1,000 over €20,000.
Note: Reductions do not apply to income from self-employment.
Special Flat Tax Rates (Maritime Sector)
15% for captains and officers
10% for lower-ranked crew
Tax on Rental Income
Rental Income (€) | Tax Rate |
0 – 12,000 | 15% |
12,001 – 35,000 | 35% |
35,001 and above | 45% |
Flat Tax Rates on Passive Income
Income Type | Flat Tax Rate |
Dividends | 15% |
Interest | 15% |
Royalties | 20% |
Capital Gains Tax
15% on gains from:
Sale of non-listed company shares
Listed shares (if holding ≥ 0.5%)
Bonds (government/corporate), treasury bills, derivatives
Property transfers (effective from 01/01/2017)
Solidarity Tax (Applied to Total Taxable + Exempt Income)
Total Income (€) | Solidarity Tax Rate |
0 – 12,000 | 0% |
12,001 – 20,000 | 2.2% |
20,001 – 30,000 | 5.0% |
30,001 – 40,000 | 6.5% |
40,001 – 65,000 | 7.5% |
65,001 – 220,000 | 9.0% |
Over 220,000 | 10.0% |
Corporate Taxation
Corporate Income Tax
29% flat tax rate on corporate profits
100% advance payment based on prior year’s tax
VAT (Value Added Tax) Rates
Category | VAT Rate | Applies to |
Normal | 24% | Most goods & services |
Reduced | 13% | Foods |
Over-reduced | 6% | Books & medicines |
Special Reduced VAT for Certain Aegean Islands:
Normal: 17%
Reduced: 9%
Over-reduced: 4%
Applies to: Lesvos, Chios, Ikaria, Kos, Samos, etc.
Additional Corporate Tax Provisions
Provision | Applies? |
Transfer Pricing Rules | Yes |
Controlled Foreign Company (CFC) Rules | Yes |
Tax Relief for Intra-group Dividends | Yes* |
* Conditions for intra-group dividend exemption:
Applies to Greek legal entities
Distributing entity must be:
Listed in Annex I, Part I of Directive 2011/96/EU
EU resident
Subject to a tax listed in Annex I, Part II
Recipient must:
Hold ≥10% of distributing entity’s capital
Hold for ≥24 months
