Direct Sale of Real Estate
Resident individual
Capital gains
Capital gains realised by individuals are generally taxable at a rate of 15%. By exception capital gains realised by individuals on the disposal of real estate are exempt until 31 December 2024. This exemption has been enacted every year since 2013 and is expected to continue until other taxes on real estate are rationalised.
VAT / transfer tax
Generally, the supply and lease of immovable property are exempt from VAT. However, effective from 1 January 2025 VAT will be charged if a new building is sold before its first occupation. In such a case, the applicable tax rate is 24%.
Transfer tax applies to the acquisition of the legal or economic ownership of Greek real estate and is payable by the purchaser. The tax value of real estate will be taxed against a tax rate of 3%. Where VAT is charged on the sale of a new building the 3% transfer tax is not payable.
Losses
Losses arising on sales of Greek real estate made by individuals are ignored as gains are presently not taxable.
Non-resident individual
Non-resident individuals are treated in the same manner as resident individuals.
Resident company
Capital gains
Capital gains arising on the sale of Greek real estate are subject to corporate income tax as business income. Business income is taxed at a tax rate of 22%.
The corporate income tax on capital gains is based on the difference between the net sales proceeds and tax book value.
VAT/transfer taxes
Generally, the supply and lease of immovable property are exempt from VAT. However, effective from 1 January 2025 VAT will be charged if a new building is sold before its first occupation. The applicable VAT rate is 24%.
Transfer tax applies to the acquisition of the legal or economic ownership of Greek real estate and is payable by the purchaser. The tax value of real estate is taxed at a rate of 3%. Where VAT is charged on the sale of a new building, the 3% transfer tax is not payable.
Losses
If a loss is realised on the sale of a property, this loss may be carried forward for up to five years and used to offset future gains.
Non-resident company
Non-resident companies are treated in the same manner as resident companies, since Greek real estate held by a foreign company is considered to give rise to a permanent establishment in Greece. However, losses can only be offset against other Greek taxable income.
Indirect Sale of Real Estate
Resident individuals
Capital gains
Capital gains realised by individuals on the sale of unlisted shares are subject to income tax. A tax rate of 15% applies on the difference between the sales price and the acquisition price of the shares. If the seller of listed shares holds less than 0,5% of the share capital the sale is exempt from Capital Gains Tax.
VAT / Transfer Tax
The transfer of shares is not subject to indirect taxes.
Non-resident individual
Non-resident individuals are treated in the same manner as resident individuals.
Resident company
Capital gains
Capital gains are subject to Greek corporate income tax at a rate of 22%.
VAT / Transfer Tax
The transfer of shares is not subject to transfer tax or VAT.
Withholding tax
Not applicable.
Losses
Losses arising on the sale of shares may be offset against profits of the same year or the next five years.
Non-resident company
Non-resident companies are treated in the same manner as resident companies, since Greek real estate held by a foreign company is considered to give rise to a permanent establishment in Greece.
Direct Transfer Intra Concern (Greek Real Estate to Greek Company)
Capital gains
Capital gains arising on the sale of Greek real estate are subject to corporate income tax as business income. Business income is taxed at a tax rate of 22%.
The corporate income tax on capital gains is based on the difference between the net sales proceeds and tax book value.
VAT/transfer taxes
As a general rule, the supply and lease of immovable property are exempt from VAT. However, effective from 1 January 2025, VAT will be charged if a new building is sold before its first occupation. The applicable VAT rate is 24%.
Transfer tax applies to the acquisition of the legal or economic ownership of Greek real estate and is payable by the purchaser. The tax value of real estate is be taxed at a tax rate of 3%. Where VAT is charged on the sale of a new building, as mentioned above, the 3% transfer tax is not payable.
Losses
If a loss is realised on the sale of a property, this loss may be carried forward for up to five years and used to offset future gains.
Under the provisions of incentive legislation, which apply to business combinations or business restructurings (merger and acquisition provisions) transfer taxes and capital gain taxes may be avoided.
Indirect Transfer Intra Concern (Greek Real Estate to Greek Company)
Capital gains
Capital gains are subject to Greek corporate income tax at a rate of 22%.
VAT / Transfer Tax
The transfer of shares is not subject to transfer tax or VAT.
Losses
Losses arising on the sale of shares may be offset against profits of the same year or the next five years.
If the merger and acquisition provisions apply transfer taxes and capital gain taxes may be avoided.
Direct Transfer Intra Concern (Greek Real Estate to Foreign Company)
Capital gains
Capital gains arising from the sale of Greek real estate are subject to corporate income tax as business income. Business income is taxed at a tax rate of 22%.
The corporate income tax on capital gains is based on the difference between the net sales proceeds and tax book value.
VAT/transfer taxes
As a general rule, the supply and lease of immovable property are exempt from VAT. However, effective from 1 January 2025, VAT will be charged if a new building is sold before its first occupation. The applicable VAT rate is 24%.
Transfer tax applies to the acquisition of the legal or economic ownership of Greek real estate and is payable by the purchaser. The tax value of the real estate is taxed at a tax rate of 3%. Where VAT is charged on the sale of a new building, as mentioned above, the 3% transfer tax is not payable.
Losses
If a loss is realised on the sale of a property, this loss may be carried forward for up to five years and used to offset future gains.
Underthe provisions of incentive legislation, which apply to business combinations or business restructurings (merger and acquisition provisions) transfer taxes and capital gain taxes may be avoided.
If the merger and acquisition provisions apply transfer taxes and capital gain taxes may be avoided.
Indirect Transfer Intra Concern (Greek Real Estate to Foreign Company)
Capital gains
Capital gains are subject to Greek corporate income tax at a rate of 22%.
VAT / Transfer Tax
The transfer of shares is not subject to transfer tax or VAT.
Losses
Losses arising on the sale of shares may be offset against profits of the same year or the next five years.
If the merger and acquisition provisions apply transfer taxes and capital gain taxes may be avoided.
Transfer Greek Real Estate to an EU Company
If the transferor’s home jurisdiction is in the European Union, the same rules apply as in the case where the transferor is a Greek company for example the liability to tax on capital gains may be avoidable if the merger and acquisition provisions apply. Several detailed conditions apply which can be found in the Council Directive of 19 October 2009.
