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Greece comes under the EU VAT regime, and is part of the European Union single market economy. VAT Directives are issued by the EU which lay out the principles of the VAT regime to be adopted by the member states. These Directives take precedent over the local legislation.
Click here for free guidance on Greek VAT registration and returns - including fiscal representation.
Greece VAT Law
The Greek VAT law is contained within the General Tax Code. It is administered by the Ministry of Finance and local tax offices.
greek VAT Registration
All foreign companies may register for VAT in Greece without the need to form a local permanent establishment – known as non-resident VAT trading, however the requirements are different for EU and non-EU companies. There is no VAT threshold in Greece for the registration of non-resident traders – a VAT number must be in place before the commencement of taxable supplies.
There are strict rules on the situations where a registration is permitted. Common scenarios which require a Greek VAT registration include:
- Importing goods into Greece;
- Organising live events, conferences etc in Greece;
- Holding goods in a warehouse in Greece as stock for resale;
- 'Supply and install' services over 12 months;
- Selling goods from Greece to other EU countries; and
- Distance selling to private individuals in Greece, e.g. internet retailing.
Registering for Greek VAT generally takes 2-3 weeks, although this can vary.
greek VAT Compliance
There are detailed rules controlling the recording and processing of Greek transactions. These include guidelines on:
- Greek invoice requirements;
- Foreign currency reporting and translation;
- Correcting errors from prior returns;
- Credit notes and corrections; and
- What accounting records must be maintained.
greece VAT Rates
The standard VAT rate in Greece is 23% (from July 2010). There is a reduced rate of 13% (from Jan 2011) for: food and drink; pharmaceutical products; passenger transport; and other. There is also a 6.5%% VAT rate (from Jan 2011) for: hotel accommodation; medicines and vaccines; children’s books; newspapers; and other.
There are many variations to the rates above, including exempt taxable supplies. Please contact us to learn more:
enquiries@tmf-vat.com
greek VAT Returns
Companies with a Greek VAT number must submit periodic returns detailing all taxable supplies (sales) and inputs (costs). Generally, returns in Greece are submitted quarterly. VAT returns in Greece are due by the 25th of the month following the reporting period.
greek Intrastat and EC Sales Lists
In addition to VAT returns in Greece, companies may be required to submit additional statistical information.
The Greek Intrastat, which lists sales (dispatches) and purchases (acquisitions), within the EU region, must be filed monthly once the annual threshold is exceeded. Greek EC Sales Lists, or recapitulative statement, details customers and the values of sales made to them. It must be submitted on a monthly basis, and there is no threshold for reporting.
greece VAT Refunds
If a foreign company is providing taxable supplies in Greece, but is unable to obtain a Greek VAT number, or simply incurring Greek VAT on local goods or services, then any Greek VAT incurred may be recovered through a VAT reclaim.
From the 1st of January 2010, VAT refund applications are made through the Tax Authorities of the applicant’s home country.
For more details, click here to read about our VAT Recovery service.
To talk about our Greek VAT services, enquiries should contact TMF’s UK office, which co-ordinates TMF's European VAT services.
enquiries@tmf-vat.com
+44 (0)870 067 8881
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European Vat 