Ninety investors are requesting tax immigration to Greece

About 90 applications from investors have reached the Ministry of Finance, answering to the incentives for tax immigration. This is taking place, despite the unfavorable situation of the pandemic, which shows that there is a response to the new tax incentives of the tax immigration framework.

According to the latest data from the Ministry of Finance for 2020 and 2021, about 90 applications have been submitted by investors and their relatives, with the amount of the confirmed tax reaching 4.5 million euros for the first two years of implementation. For the same period, 180 pension applications have been submitted so far.

The first step was taken with law 4646/2019, which provides for the possibility of alternative taxation of global income for young tax residents who make significant investments in Greece.

Subsequently, law 4714/2020 extended the alternative taxation to beneficiaries of foreign pensions, who transfer their tax residence to Greece.

Recently, the provisions of law 4758/2020 were activated, which aim at attracting foreign workers and the self-employed, but also Greeks who left the country during the economic crisis.

Increased interest

Interest in the new provisions has increased, as they provide exemption from income tax and special contribution solidarity of 50% of the income they will obtain in Greece for a period of seven years, for natural persons who move their tax residence and will be employed in new jobs, or will start working as self-employed professionals .

Law 4778/2021, which regulates the establishment and operation of special purpose companies for the management of family property, is included in the context of attracting natural persons with tax residence abroad to Greece.

Family offices

The new provisions establish clear and transparent rules – based on international best practice – that govern the management, by the so-called family offices, of cash flows and family assets of high-income individuals.

Due to the increased interest from taxpayers, the application deadline for 2021 was recently extended:

– Until May 31, for new tax residents who make significant investments in Greece (Article 5A of the Income Tax Code) and for beneficiaries of foreign pensions who transfer their tax residence to Greece (Article 5B of the Income Tax Code).

– Until September 30, for natural persons who transfer their tax residence and will be employed in new jobs or will start working as self-employed professionals (Article 5C of the Income Tax Code).