Unlocking the Benefits: Transfer Your Tax Residence to Greece and Enjoy Lucrative Tax Incentives
Tax Planning | March 2023
Unlocking-the-Benefits

Greece is a beautiful country with a rich history, stunning landscapes, and delicious cuisine. But did you know that it also offers tax incentives for individuals who transfer their tax residence to Greece? That's right! The Greek government has introduced a series of measures to attract foreign investors and professionals, including a generous tax break of up to 50%.

So, what exactly are the tax incentives for individuals who transfer their tax residence to Greece? Here's a breakdown:

  1. Tax Break for 7 Years

Individuals who transfer their tax residence to Greece can benefit from a 50% tax break on their worldwide income for the first 7 years. This means that only 50% of their income will be subject to Greek taxation, while the remaining 50% will be exempt.

  1. Tax Incentives for Investors

In addition to the tax break, Greece also offers tax incentives for individuals who invest in certain sectors of the economy. For example, investors who purchase Greek real estate or invest in renewable energy projects can benefit from reduced tax rates, tax exemptions, and other incentives.

  1. Access to EU Markets

By becoming a tax resident in Greece, individuals can gain access to the European Union (EU) markets. This means that they can take advantage of the EU's free movement of goods, services, capital, and people, which can have a significant impact on their business operations.

  1. Low Cost of Living

Compared to other European countries, Greece has a relatively low cost of living. This means that individuals who become tax residents in Greece can enjoy a high standard of living at a lower cost than in other countries.

Furthermore, according to an article of the Greek website “moneyreview.gr” published in January 2023, the transfer of tax residence to Greece is becoming increasingly popular among employees, self-employed persons, pensioners, and investors, as it is accompanied by a favorable tax regime. 

To date, 4.500 people, most of whom left the country during the debt crisis, have returned, and are employed or self-employed in Greece. In fact, 1.500 new applications are under consideration. Under the special scheme to which they are subject, they will pay 50% of their tax liability for the next seven years.

According to data from the Ministry of Finance, the number of employees who have decided to come to Greece, as the legislative framework is now particularly favorable, has quadrupled since June 2022, while there are thousands of pending applications.

Moreover, high-net-worth investors who have come to Greece amount to 124 and within the next three (3) years, will have completed their investments worth of a total value of 62 million euros. Not to mention that several people are transferring their tax residence to Greece and have initiated the establishment of Special Purpose Family Asset Management Companies. In fact, an investor, has already transferred his tax residence to Greece and
managed to incorporate the first Special Purpose Family Asset Management Company (in Greek 
“EESDOP”).

When it comes to foreign pensioners, 335 applications from at least 21 countries have been approved since 2020 and 120 are currently being processed. Under the law, foreign pensioners pay tax every tax year at a rate of 7% on all income earned abroad.

In alignment with the above, it is clear that Greece offers a range of tax incentives for individuals who transfer their tax residence to the country. So, if you're considering a move to
Greece, make sure to take advantage of these incentives and reap the benefits of your new home!

#Connect_with_Greece

Related Articles

This year Greece is ranked 29th  in the Organization for Economic Co-operation and Development (in Greek OOSA)  to this year International Tax Competitiveness Indicator published by the Centre for Liberal Studies (in Greek KEFIM) in

Tax Planning | October 2022

Favorable 7-year scheme with 50% tax reduction and exemption from residence – automobile exhibits 

Tax Planning | June 2021

Prime Minister Kyriakos Mitsotakis announced a favorable tax and insurance scheme for individuals and businesses, as well as investment motives for foreign citizens.

Tax Planning | April 2021

Tax motives for Angel Investors are established for the first time by the Greek State.

Tax Planning | April 2021

The American government has published the “List with citizens who have chosen to expatriate”, which contains 660 names.

Tax Planning | February 2021

The Ministry of External via the deputy Minister of External Affairs, under his capacity of Head of the Interministerial Commission for Brexit, Mr. Miltiadis Varvitsiotis, and the Independent Authority of Public Revenues, via the Administrator, Mr.

Tax Planning | January 2021

As Anatoliy Lyetayev wrote at Investment migration insider on the 18th of December tax immigration; a foreign yet alluring concept that is rapidly becoming the top trend among high net worth individuals (HNWIs).

Tax Planning | January 2021

In the context of reshaping the tax legislation in Greece towards the attraction of foreign capitals, a new tax provision regarding foreign pensioners has been introduced for individuals who wish to decrease their taxation.

Tax Planning | January 2021

New deadline until the end of February is set for taxpayers in order to cover the exhibits through parental grants and donations and avoid the payment of extra tax with the submission of 2021 tax declarations.

Tax Planning | January 2021

The objective values are expected to be re-adjusted and used for the calculation of unified property ownership tax (ENFIA) during 2021.

Tax Planning | December 2020

The first results following the voting of tax motives which were granted by the Greek government targeting the attraction of foreign citizens to Greece seem to be optimistic.

Tax Planning | December 2020
How Can We Help You