Tax In Greece
After moving to Greece, you need to get yourself accustomed to the taxing system. You need to pay taxes as an employee or as a self-employed individual, if you have the status of a ‘permanent resident’ then the taxes will vary. For an employee, take a look at the following to know in which class you belong and the tax you have to pay.
What Is The Income Tax In Greece?
The yearly tax deductions are based on your total amount of income which includes yearly salary, properties and investments. This tax is based by your employer and ranges from 9% to 44%.
Income up to 9,999 euros is tax free and more than 40,001 gets taxed with the highest percentage of 44. For regular employees, wage tax is used to calculate their tax amount.
- Employment, businesses and pension:
| Income | Tax rate |
| Up to 10,000 | 9% |
| 10,001 – 20,000 | 22% |
| 20,001 – 30,000 | 28% |
| 30,001 – 40,000 | 36% |
| 40,001+ | 44% |
- Rental:
| Income | Tax rate |
| Up to 12,000 | 15% |
| 12,001 – 35,000 | 35% |
| 35,001+ | 45% |
- Individual contribution that is applied to total income:
| Income | Tax rate |
| Up to 12,000 | 0% |
| 12,001 – 20,000 | 2.2% |
| 20,001 – 30,000 | 5% |
| 30,001 – 40,000 | 6.5% |
| 40,001 – 65,000 | 7.5% |
| 65,001 – 220,000 | 9% |
| 220,001+ | 10% |
For example, an employee earning 15,000 euros with no side business or investment will have to pay 3,300 euros for tax and will have 11,700 euros after their tax has been paid.
How To Reduce Your Tax In Greece?
In order to reduce your taxes, you can file a tax declaration. The declaration must be turned in by June 30 which marks the end of the tax calendar year. You can only complete it online by connecting to the TAXISnet site. If you don’t already have one, you must first obtain a registration key from the tax office where you obtained your AFM (Arithmos Forologiku Mitroou) which is the number that identifies legal entities and individuals in Greece.
Greece Tax Calculator
You can visit aftertax.gr to calculate your income after tax. You enter the gross salary, net income, number of children, salaries in a year and insurance agency to get a rough estimate of the amount left. This is not completely accurate but gives you a rough idea of the amount you will have.
Conclusion
The amount of tax you will receive is base don the type of income you earn in a calendar year, family members and any side investment you have made or business that you own. The amount of income tax per year remains similar unless a change has been made in the source of income.