Greece: Separate Taxation of Married Individuals with Different Residency

Following the decision of the Greek court, it is now possible for spouses to submit separate individual annual tax returns depending on their tax residency.

This decision comes as a solution to the problem of married couples who live separately due to various reasons, such as when one of them lives abroad due to professional engagements.

Until now, it was mandatory for the couple to submit one tax return (typically in Greece) and to report the family’s global income. If one member of the family was living in Greece, it made it mandatory for both to submit a tax return in Greece, as having a family member there was consider to mean having a vital interest in the country.

In order for a married person to transfer the personal tax residency abroad, he/she has to present to the tax authorities documents concerning the relocation until the 10th of the March of the year following the one during which the relocation took place.

Such documents include, among others, the proof of a bank account, employer’s certificate, rent or purchase agreement for a home, as well as TIN (or V.A.T. number) in the foreign country. Once the documents are submitted, the tax authority is obliged to respond within 2 months. If the response is affirmative, the individual’s tax file is transferred to the relevant tax authority for residents abroad. In cases when the decision is negative, the individual has the right to appeal to the Administrative Court of Greece.

We advise individuals with tax residency abroad to examine the new opportunity and take the necessary steps to ensure compliance. Eurofast’s Athens office is at your disposal and is ready to provide assistance in regards to this matter.

For more information, feel free to contact:

Kostas Sakkas
Chief Accountant
Eurofast Global Greece

Please read our DISCLAIMER