February 19, 2016 at 10:17 am #224896
Just about to sign for a flat. I had been told that if it is my first property I do not have to pay the property tax. I have now been told that if I register as a Greek resident I will have to pay the Greek tax man 40% of my UK pension, Is this true? My pension is not big and this would be a disaster.
Is it true?
February 20, 2016 at 6:46 am #224898
Firstly I think there cannot be double taxation. If you’re taxed on your pension in the UK then Greece can only tax you for the difference between what you would have been taxed in Greece on the gross income and what you’ve already paid in the UK.
Secondly, as far as I’m aware, there is a number of tax-brackets and the 40% only applies to the high end of an income (not sure what the percentages and the exact brackets are).
Obviously this is only what I think is the situation (I’m not on a pension yet) but you’d best talk to someone in KEP or some specialised accountant.
February 20, 2016 at 1:17 pm #224899
OK thanks for that. I will have to find one.
February 21, 2016 at 1:31 pm #224906
Of course you have to pay property purchase tax and the annual property tax on your property in Greece whether you are resident or not. WHEN you sell the property there is no Greek Capital Gains Tax to pay on profit on the sale of your first Greek house (as in UK) but if you also have a property in UK too and are a UK tax payer then there could be some UK Capital Gains Tax on selling your 2nd house even if it is in another country. UK Tax free CG allowance is £11k+ p.a. per person now and some allowance for the time you have owned it. Your Greek accountant and lawyer between them should have explained the taxes …. I trust you do have a Greek lawyer handling the property purchase and unless you are fluent in Greek an accountant to do your annual Greek tax return – especially for the year in which you buy or sell house, land, car, boat, etc. (Other rules for non-residents with Greek property when no tax is due seem to change fairly often in current economic climate – but if you are resident in Greece you will need to do an annual tax return). Hope that helps.
February 21, 2016 at 1:39 pm #224907
Just trying to find up to date info on Greek house buying, taxes, etc on line & see that many sites are out of date. I believe this one is reasonably up to date …. but your local Greek lawyer should have the latest rules. You can ask the British consulate for a reputable English speaking lawyer in your chosen area if you are unsure of a lawyer being foisted on you. See http://www.rightmove.co.uk/overseas-property/Greece-guide.html
February 21, 2016 at 3:01 pm #224910
Go here for officially recognised English speaking Greek lawyers:
These are recommended by the British Government.
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February 21, 2016 at 3:47 pm #224914
Used a lawyer recommended on this site. However, she is moving to England in June. Poor soul.
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