Greece: Ministry of Finance Announces New Tax Relief Measures

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The Ministry of Finance announced on April 22^nd new tax cuts and the abolition of the special solidarity contribution for natural persons engaged in business activity, legal persons and legal entities. 

More specifically:  

• From this year onwards, the mandatory tax pre-payment will be permanently reduced from 100% to 55% for all individuals engaged in business activity. 
• As of 2022, the mandatory tax pre-payment will be permanently reduced from 100% to 80% for legal persons and legal entities. However, especially for 2021 it was reduced to 70%  
• The Corporate Tax Rate for all legal persons and legal entities will be permanently reduced from 24% to 22%, starting from 2021 incomes and revenues 
• The reduction by three percentage points of the insurance contributions of the private sector will apply also for 2022. 
• Suspension of special solidarity contribution applicable to the individuals will be extended also for the year 2022. 

The new measures announced by the government are expected to help the economy recover from the effects of the pandemic and relieve private sector taxpayers and businesses. 

For further information, please contact Mrs. Maria Sarantopoulou, Chief Tax and Legal Advisor, at our Eurofast office in Greece at athens@eurofast.eu .

Eurofast is a regional business advisory organisation employing local advisors in over 23 cities in South East Europe & Middle East (SEEME). The Organisation is uniquely positioned as one stop shop for investors and companies looking for professional services in South East Europe & the Middle East.  

22/4/21