Saturday , May 25 2019
Home / News / Economy / Greece’s state to cash taxes for property sales retrospective for 10 years

Greece’s state to cash taxes for property sales retrospective for 10 years

It doesn’t matter if a property sale concluded five to ten years ago, the seller registered the sale in the finance ministry thus paying the relevant taxes and putting the earned amount to a bank deposit.

Greek Finance Ministry claims that according to previous legislation and common practice, property sellers used to put on the official transaction contracts the objective value of the property which was lower than the commercial, the real value.

Therefore, the Finance Ministry assumes that all the property sellers own taxes to the state and thus retrospectively.

According to previous legislation -(before the capital controls and before the EU directives for the banks – banks would not ask about the source of money over 12,000 euro.

Desperate to increase revenues, the state will know consider large amounts of deposits as “unjustified wealth increase” and impose additional taxes.

With full access to tax payers bank accounts and the capital controls in operation tax authorities will scan bank accounts from 2000 onward and  treat bank account holders as owners of “black money.”

If a property was sold for €300,000 and the price on the contract was €125,000, the property owner who sold his home in 2006 will have to pay additional taxes as tax authorities will not accept that the difference of 1750,000 was money from that property sale.

The requested tax will be 3% on the amount of 175,000 euro.

If tax authorities consider it as simple “unregistered income” the tax 40% or even up to 120% in case of fines, penalties. (source)

Of course, it is a legal issue whether the state can collect retrospectively taxes. And furthermore its genius consultants should ask how much money has been left out of €175,000 in 2006, for example, after 7 years of economic crisis. They can also ask whether large amounts of this money was spent to cover state failures and austerity impact like to feed families of unemployed, or come up for health issues.

With the speed the government has developed in order to fill its cash registers, it can go back and raise taxes retrospectively since the establishment of the Greek state in 1821.

PS I think to remember there is some weird clause about “write-off” when it comes to what the taxpayers must give to the state.

Check Also

Eurogroup: Greece’s lenders concerned about the package of “relief measures”

The Eurogroup has warned Greece about the benefits and relief measures the parliament approved during …


  1. And the German plan of devastation (the land empty and for free) sails on! Let us not forget that similar methods were applied in order to seize all property from the Jews of Thessaloniki during the German occupation of Greece.

    It would be far more decent (and save time) to issue raffle tickets of money to be paid to the Commandatur each month by the “winning” citizens (slaves).

  2. If a property is sold for 3000.000 euro why would the contract state 125.000 euro? Why not be honest instead of fooling the state all the time?

    • ask the politicians, the notaries, the constructors and everybody else involved in such practices for decades

  3. Giaourti Giaourtaki

    Aborting the money-system means freedom, food is for feed not for profits