# House Tax



## john111 (Mar 17, 2010)

Hello all,

This is my first entry onto the Greek forum but I hope I may make a contribution to ex-pats in Greece, and those who aspire to live in Greece.

I have a home in Greece which I use about 4 weeks in the year for annual holidays. I have recently been hit with a tax bill of 4,000e. This is not a tax on my house, but a tax on a salary the Greek Government says I should earn to own a house such as mine. 

I do not work in Greece, I do not live in Greece and I have no earnings from my house (rental etc) yet I still have to pay tax on a none existent income of 19,000e. I have written to the Greek tax authorities for clarification, but received no reply. 

EU law states that it is illegal to double tax income, yet this is in effect what the Greeks are doing. I must use my already taxed income to pay for a Greek tax on a none existent income.

For those with experience of Greece, none of this will come as a surprise. But for those seeking to invest in Greece, my advice is to ask the question up front. What will it cost in tax to own your Greek house.


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## elen (Apr 5, 2009)

Hi 
I am not really sure that you are correct... Did you submit your tax documents for the past years? You need to submit tax docs if you own a house, even if you don't work in Greece. If you have an accountant to fix them for you it shouldn't cost you more than 100 Euros and you probably shouldn't be asked to pay anything at all, since you have proof that you are working in another country. Not submitting any documents gives the impression to the authorities that you are hiding the property so what you receive is a fine. The tax authority that you need to contact now in order to see how you can get this settled is the "tax authority for people living abroad" and the telephone number is +30 210 8204631
Greece is a mess generally, but some things can be settled if you just consult the relevant people (such as an accountant in your case). good luck!


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## The Grocer (May 30, 2010)

If you own a home in Greece the government looks at the expected running costs and you will have to show income (via pink slips or an annual statement of money transfers) from your bank. This the accountant offsets the tax expected.

If you do not transfer monies in you will receive a tax demand, I have yet to hear if this can be claimed back under the Double Taxation Treaty with the UK..


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## john111 (Mar 17, 2010)

*Greek Tax*

Hello elen,

Thanks for your reply. Just to clarify the situation a little. Since 2000, I have had an accountant who fills in my yearly tax returns. I am even registered as a non-resident. Up until last year there was nothing to pay. Last year the rules changed as indicated by reply from the Grocer. The tax imposed is not a house tax, but a tax on a fantasy income the government claims you should be earning to maintain a house such as mine. (its big) If you work in Greece, you must show evidence of your tax payment, if you live outside of Greece, you are required to transfer the amount equaling the fantasy income. I think the Greek Government ran a similar scheme for cars ownership at one stage. 

I have tried the number you gave, but unfortunately I am unable to get an answer. I'll keep trying.


John



elen said:


> Hi
> I am not really sure that you are correct... Did you submit your tax documents for the past years? You need to submit tax docs if you own a house, even if you don't work in Greece. If you have an accountant to fix them for you it shouldn't cost you more than 100 Euros and you probably shouldn't be asked to pay anything at all, since you have proof that you are working in another country. Not submitting any documents gives the impression to the authorities that you are hiding the property so what you receive is a fine. The tax authority that you need to contact now in order to see how you can get this settled is the "tax authority for people living abroad" and the telephone number is +30 210 8204631
> Greece is a mess generally, but some things can be settled if you just consult the relevant people (such as an accountant in your case). good luck!


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## john111 (Mar 17, 2010)

Hello all,

I have managed to reduce the tax bill for my Greek house. The original was quoted at 4,000e. I found out that none residents are more favourably taxed, and after challenging (yes challenging) my accountant, I managed to reduce the demand to1,600e. Shame my accountant didn't volunteer this option without being prompted. Good luck to those caught in the same tax trap. John 111


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## theholdings (May 25, 2010)

Hi John111

My husband and I are currently having a house built in Rhodes (due for completion in May 2011) and this is the first I have heard about this tax. We have just been stung with massive mortgage arrangement fees too. I'm beginning to wonder what on earth we have got ourselves into  

Thanks for the info.

Jo


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## jonus1 (Jun 24, 2010)

john111 said:


> Hello all,
> 
> This is my first entry onto the Greek forum but I hope I may make a contribution to ex-pats in Greece, and those who aspire to live in Greece.
> 
> ...


Hi,
We also have a house in Rhodes and your letter really worried me,
I have been in contact with my Accountant in Rhodes and he has emailed me this reply bear in mind he is Greek.
This is his reply
I understand that you are worried about the tax situation in Greece but let me put your mind at rest.
I Have sent you a copy of tax statementof this year and as you can see again you pay nothing.(The E1 is the tax Statement and the EKK.2010 is your P60)
So for your house in Rhodes as you can see you pay NO TAX. So no worries needed.
He also went on to say that he had someone come into his office with a Tax bill for their house but as he puts he fixed it in 3 days and now the dont have to pay the Tax.
He has been a great friend for many years and if anyone else would like his details or contact him let me know


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## theholdings (May 25, 2010)

Hi Jonus
Reading your post has really put my mind at rest. I would greatly appreciate the neame/contact details of your accountant if you wouldn't mind, it certainly sounds as if we need one!

Many thanks

Jo


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## jonus1 (Jun 24, 2010)

*Tax*



theholdings said:


> Hi Jonus
> Reading your post has really put my mind at rest. I would greatly appreciate the neame/contact details of your accountant if you wouldn't mind, it certainly sounds as if we need one!
> 
> Many thanks
> ...


Hi Jo
I have befriended you as i dont want to display my email think that way its private, check it and see


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## jonus1 (Jun 24, 2010)

Ok not heard from you so here's my email if your still interested [email protected]


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## john111 (Mar 17, 2010)

Hi Jonus,

Thanks for your input. As I mentioned , the tax is not a house tax, my house tax is next to nothing and my accountant was very clear on that point. In typical Greek fashion, it is a very complicated tax. The tax is on a fictional income the Government claim I should be earing to maintain my house. 

The idea of the tax is to identify Greeks who claim to be low earners yet can afford to build and maintain properties well beyond the means of a low income. Its just unfortunate that expatriates are also caught in the same trap. I think my accountant is very pro-tax and defends the intrests of the Government position rather than that of expatriate clients.

I would be interested to see how your situation progresses andyes I wold be grateful for the contact details of your accountant just so I could get a second opinion.

Regards,

John 111



jonus1 said:


> Hi,
> We also have a house in Rhodes and your letter really worried me,
> I have been in contact with my Accountant in Rhodes and he has emailed me this reply bear in mind he is Greek.
> This is his reply
> ...


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## jonus1 (Jun 24, 2010)

Hi John111
My email address is on the is on page 1 I will only give Accountants address and phone no via my email look forward to hearing from you


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## theholdings (May 25, 2010)

Hi Jonus1

I have tried your email address and it bounced back, I also have friend requested you (or whatever they call it on here!)

My email address is deleted email address

Would you mind emailing me the details of your accountant as I cant seem to get in touch with you any other way, sorry!

Jo :confused2:


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## jonus1 (Jun 24, 2010)

*House tax*



theholdings said:


> Hi Jonus1
> 
> I have tried your email address and it bounced back, I also have friend requested you (or whatever they call it on here!)
> 
> ...


Hi Jo emailed you but yours is bouncing too


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## jonus1 (Jun 24, 2010)

*house tax*



jonus1 said:


> Hi Jo emailed you but yours is bouncing too


Just sent you a PM on HERE check it


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## jonus1 (Jun 24, 2010)

jonus1 said:


> Just sent you a PM on HERE check it


Your PM is TOP RIGHT HAND SIDE OF THIS PAGE should be under welcome The Holdings


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## avatingo (May 21, 2011)

Dear Jonus1

Do you have more information on the tax issue in Greece? I have the same problem. Could i possibly have the details of your accountant?

Thanks you


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