License EOT, taxes at rent

EOTIn Greece, legislation allows both Greeks and foreigners to buy real estate. Renting property in Greece follows a contract stipulating in advance the conditions of rental. Every transaction should be executed legally.

Long-term rental of properties are defined as more than three months . The contract for this rental must be registered with the tax office. Short-term rentals require registration with the Greek National Tourism Organization, abbreviated as ” EOT “. This organization is a legal entity directed by the Ministry of Tourism of Greece . This agreement is concluded through the agency or through a legal person appointed by the business owner.

 

According to the Law on Income Tax on activities in Greece since 2010, the amount of tax depends on the annual income of the owner, in the following ratio :

• tax on the first 12,000 euros (0-12 000) – 0 % for residents ( persons who are in the country for more than 183 days per year) , 5% for non-residents;

• tax on the following Euro 4000 (12 001-16 000) – 18% ;

• the following Euro 6000 (16 001-22 000) – 24% ;

• the following Euro 4000 (22 001-26 000) – 26% ;

• the following Euro 6000 (26 001-32 000) – 32% ;

• the following Euro 8000 (32 001-40 000) – 36% ;

• for the next 20 000 ( 40 001-60 000) – 38 % ;

• the next 40 000 ( 60 001-100 000) – 40%;

  • amounts above 100 000 euros – 45%.

If a family has children who have not attained the age of majority, the spouses declare their income separately. Income from renting the property from 2008 is exempt from stamp duty of 3.6 %.

To date, stamp duty is charged only on income from renting in non-residential areas.