What is the process for becoming a Tax Resident of Greece?
The method and implications of becoming a tax resident of Greece is one of the first things you will need to understand if you are considering moving to Greece. It will have implications in your daily life, and before you know it, after living in Greece for a week or two, you will be asking yourself “how do I become a tax resident of Greece?”
Let us guide you through the steps to becoming a Tax resident in Greece.
Why you need to become a tax resident in Greece?
If you live over 183 days in Greece you are considered a tax resident. It’s a good idea to register as a tax resident so you don’t have any issues with the Greek authorities down the line including potential penalties. In addition, if you are living in Greece, it’s a lot easier to have your tax residency completed for ever day tasks such as medical, buying and selling cars and accessing government services.
What does it mean to be a tax resident in Greece?
If you become a tax resident of Greece than you will be required to pay tax on your worldwide income. You need to plan accordingly for this, especially if you have properties or other income overseas as this will need to be taxed.
There are some tax regimes in Greece which are particularly attractive for foreign residents who move their tax incentives to Greece. These have been designed to make it attractive for foreigners to move their tax residency to Greece and to move to Greece.
These include the 50% tax discounts (Non-Dom Tax Regime) which entitles people to a 50% tax break if they move their business or employment to Greece, as well as the special tax regime for foreign pensioners which offers a flat tax rate of 7%. Our tax team can help you understand if you are eligible for either of these incentives and guide you through the process of making an application.
Using a tax representative to assist you in Greece.
If you stay in Greece over the 183 day period (there are a number of more specific requirements and definitions which our tax team can assist you with), you may prefer to appoint a tax representative. This is helpful if you don’t speak the language or if you don’t understand the tax system. Your tax representative can be an accountant, lawyer or financial advisor and you can use them to manage your communication, work through the process, submit paper work and generally authorize them to act on your behalf for your dealings with the tax office in Greece.
They can update your residency status in Greece and also make the appropriate declarations to the Greek tax authorities and ensure that you comply with all the laws and regulations.
Conclusion:
Once you stay in the country for over 183 days you will be a Greek tax resident in most circumstances, and you should consult a tax professional to register as a Greek tax resident and declaring your income as required. You can also do it yourself if you know the system, or call our team of tax and legal advisors for guidance.
The most important thing is to ensure you comply with the requirements and also know and understand the different advantages you get from being a tax resident including social security advantages and the ease of working through the system. Call our team for more guidance on your regulatory needs and requirements in Greece.
Client testimonials:
The Tsaks Consulting team is fantastic. They have us detailed guidance on becoming a tax resident in Greece including the requirements for compliance and how it is defined. Since we are planning how long to spend in Greece and our travel, as well as our residency and tax base, this advice and guidance is very important. The Tsaks Consulting team is excellent and provide a service that is on-point and responsive. They know about the different double tax treaties.
John C | Private Individual | Greece
If you are moving to Greece and worried about tax residency, just call Tsaks Consulting and speak to the team. They have nearly all the answers and their accounting partners are great – reliable and professional. They will clear everything up for you so you understand and know how to work within the system.
Jason C | Private Individual | EU