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Introducing Greece’s Novel Attraction: Taxopolis

March 11, 2022
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The cradle of western civilization.  The origin of drama/theatre.  The birthplace of democracy.  Socrates, Plato and Aristotle.  Mythology.  Olympics. Postcard-perfect Santorini.  The Acropolis.  Feta cheese.  These often pop up in people’s mind when they come to think of Greece.  Only a handful knows the Mediterranean country’s recent wonder: a tax haven, from 2020 onwards.

High net worth individuals in other European countries have caught up on the news.  Some took action quickly when the non-domicile tax scheme was introduced earlier this year.  The scheme offers the world’s super-rich an annual lump sum tax of €100K regardless of their level of foreign income for 15 years maximum provided they make an investment in Greece with a minimum €500K within a period of 3 years.  The latest multi-billionaire who filed an application is an Indian entrepreneur whose wealth is estimated between €4-5 billion.

Greece as a tax haven is not reserved to the upper class, pensioners also have their shares as well.  Retirees who have been receiving pension from overseas countries that have income treaties with Greece can now relocate to the country while enjoying a flat 7% tax rate for all forms of their income from abroad.  Even with the absence of tax benefit, Greece has been the dream place for the world’s retiring population in setting up homes close to tortoise water and under the cerulean sky.  This tax regime for pensioners is certainly a godsend for people in their golden years.  Who can resist a country that nourishes a life with less spending and more savings?

Those who have active roles to play in the labour force and at the same time like to roam around the globe, the Greek government has not neglected your financial needs.  From the beginning of 2021, if you declare to stay in Greece for 2 years and your country has entered an income treaty with Greece, you are welcome to work here and gain the benefit of being taxed on 50% of your employment income for 7 consecutive years. What if you are an entrepreneur from a country that has double taxation agreements with Greece?  Do not worry, your interests are well taken care of too.  Moving your tax residence to and starting businesses in the country will enable you to take the reward at any fiscal year: only 50% of your business income is deemed taxable.

Good news can’t stay under the radar, very soon people from all walks of life will flock to seek their tax havens within the Greek territories. Given the government’s unwavering commitment in constructing a tax-favorable and investment-friendly environment for the country, Greece will transpire as an economic oasis in Southeastern Europe for different parties.  Gear up, embrace the goodies and beauties this country is on offer. Welcome to Taxopolis.

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