Answers to questions from foreign investors in Greece

1. A non-resident tax resident buys real estate or movable property in Greece. Is it required to submit a tax return in Greece? He is not required to submit an income tax return in Greece if he does not obtain real income from sources within the country. Similarly, a non-resident tax resident who obtains income […]

Article 5B Alternative taxation of income of natural persons, beneficiaries of income from pensions arising abroad, who transfer their tax residence to Greece.

1. Persons and conditions of affiliation A natural person entitled to income from a pension, in accordance with Article 12 of the Income Tax Code, arising abroad, who transfers his tax residence to Greece, is subject to an alternative method of taxation for income arising abroad, provided that cumulatively: 2. Procedure and deadline for inclusion […]

ADDITIONAL PROTOCOL TO THE CONVENTION ON THE CONTRACT FOR THE INTERNATIONAL CARRIAGE OF GOODS BY ROAD (CMR) CONCERNING THE ELECTRONIC CONSIGNMENT NOTE

The Parties to this Protocol,Being Parties to the Convention on the Contract for the International Carriage of Goods by Road (CMR), done at Geneva on 19 May 1956,Desirous of supplementing the Convention in order to facilitate the optional making out of the consignment note by means of procedures used for the electronic recording and handling […]

Τhe responsibility of the Manager of PC (IKE), whether or not he is a partner under the relevant legislation.

1. Liability towards the Tax Administration Article 50 of the Tax Procedure Code (Law 4174/2013), as in force, stipulates that: "1. Persons who are executive chairmen, directors, general managers, managers, managing directors, executive directors and liquidators of legal persons and legal entities, as well as persons who effectively manage or manage a legal person or […]

Adjustment of profits of related enterprises for intra-group transactions after profits’ adjustment in the framework of tax audit.

Article 171 of the draft law submitted to the Parliament proposes provisions whereby, if the profits of alegal entity subject to tax in Greece include profits subject to tax in Greece in the name of an associated person and which have arisen as a result of a tax audit of the first taxable legal entity, the second associated legal entity may request a corresponding adjustment to its taxable profits, following submission of an amending tax declaration accompanied by a notification of its audit report of the first taxable legal entity. That legislation also has retroactive effect, since, at the time of the entry into force of the draft law in question, cases are pending before the Tax Administration or the ordinary administrative courts or the Council of State. (Article 171). Until now, the tax administration has unilaterally accepted any tax reform, without at the same time allowing reverse reform by the other contracting party. This obviously results in double taxation of income, which is in direct conflict with the spirit of Article 9. For example, if the connected party A was overpriced at 80K€ the related part B, then after a possible check the tax reform would only concern the related part B which reduced the larger expense. That is, the connected face B would reshape (plus 80K€) in the tax return, its taxable results. The related party A was not entitled to reverse adjust its taxable profit. Therefore, the income arising from that transaction had been taxed in the related person A and the tax reform in the related party B was to be re-taxed. With the new layout, in the example above, the associated entity B will increase its taxable income by 80K€ (reducing the amount of expenses to be deducted), whereas, respectively, the connected entity A will reduce its revenues by 80K. In addition, as regards the relevant timetable, this amending tax return and the accompanying audit report shall be submitted within an exclusive period of three (3) months from the notification of the tax adjustment notice to the first taxable person (in the related part B in the above example).

Dropshipping

After the outbreak of the Covid-19 pandemic and the quarantine, the demand for the creation of e-shops increased tenfold, while according to the Associationof Greek Industrialists, the turnover of sales in Greek online stores during the lockdown period, on average, increased sixfold. Retail in the new digital era is enclosed in three aspects: interconnected customers, […]

Tax residents of Greece - World income and taxation.

More often taxpayers receive letters from the Greek tax administration inviting them to submit amending tax returns to include income from abroad. The invitation states the following: "We inform you that with the completion of relevant crosschecks of tax data received in the context of automatic exchange from countries of the European Union (N.4170/2013), it […]

Corporate Tax Transparency Reports

Multinationals entities and their subsidiaries with annual revenues of more than EUR 750 million - and operating in more than one EU countries - should publish the amount of tax payable in each Member State. This information should be available on the Internet by using a common model and machine-readable format. According to the agreement […]

The actions to be done by the owner - Company or Individual - in the event of a furnished house rental for some months in tourists.

According to Law 4179/2013 "Simplifying procedures to enhance entrepreneurship in tourism, restructuring of the Hellenic Tourism Organization and other provisions" and in particular Article 46- "arrangements for self-service accommodations", new arrangements concerning the whole process are provided, which a private individual or a company must be followed to rent furnished residences, which is owned. The […]

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