The acquisition of real estate in Greece is subject to various taxes, each governed by distinct provisions. These taxes must generally be settled before the contract is concluded.
Until 2007, owners of substantial real-estate holdings in Greece were subject to various property and wealth taxes, which applied only if the objective value of their properties exceeded certain thresholds. Other than these taxes, no additional obligations applied to the property.
In 2008 and 2009, the tax on large real-estate holdings (real-estate wealth tax) was replaced by the unified real-estate tax (E.T.A.K.), which applied to all properties. Exemptions applied only to the owner’s most valuable property, up to EUR 300,000.
In 2010, the unified real-estate tax was abolished, and the real-estate wealth tax for high-value holdings was reintroduced, initially applying to assets over EUR 400,000. In 2011, the minimum taxable value was reduced to EUR 200,000, applying only for 2011 and 2012.
From 1 January 2014, the new unified property tax “ENFIA” came into effect, which remains the primary property tax in Greece.
Income Tax on Real Estate
Under Articles 39 and 40 of Law 4172/2013 (Income Tax Code), current income from real estate includes:
- Income from letting or leasing property
- Indirect income from self-occupation
- Income from gratuitous grant of use to third parties
- Income from one or more buildings, or from letting land
- Rights acquired by a landowner in buildings erected on third-party land
This income applies to any person holding full ownership, possession, usufruct, or a right of habitation through a valid contract, court decision, or usucapion, as well as those exercising usufruct under valid contract.
Practical implications: Taxable income most commonly arises from letting property. For natural persons, real-estate income is taxed under a separate progressive scale:
- 15% for income up to EUR 12,000
- 35% for income from EUR 12,001 to EUR 35,000
- 45% for income above EUR 35,001
For companies, income from letting or leasing is taxed according to corporate-tax rules.
Commercial leases
Commercial rents are subject to a special levy (stamp duty) of 3.6% of the rent. All written leases must be filed with the tax office, along with a copy of the lease, by the end of the month following its conclusion.
Municipal Charges
Municipal charges in Greece include:
- Property fee
- Waste-collection fee
- Street-lighting fee
These charges are generally billed together with electricity bills from the PPC (DEI) or other suppliers and accrue to local municipalities. The amount is typically based on the size of the property.
Important: Notaries are prohibited from notarizing a sale contract unless a municipal confirmation is presented showing that these fees have been paid. (As of March 2023. All information provided without guarantee.)