The Greek Finance Ministry has apparently prepared the long awaited law that will charge up to 45% on taxes for short-term rentals via online platforms like Airbnb.
Greek media report today that the deputy minister in charge of taxes Tryfon Alexiadis has submitted the draft to Katerina Papanatsiou, the minister who has succeeded him at the government reshuffle Friday.
The draft law consisting of 130 pages estimates annual revenues for the state at 250 million euros.
The plan provides among others:
Lessor’s registration in a special registry of the General Secretariat of Public Revenues. And a fine of €50,000 if the lessor does not register.
Limit the number of properties per lessor and number of leasing per year.
A tax of 5% for short-term rentals. The tax will be paid by the mediators i.e the online platforms in real time.
But also an information exchange agreement between the platforms and the Greek Finance Ministry.)
Taxation of the revenues will be according to the law of renting a property and lessors will not be considered as entrepreneurs:
Tax 15% for annual income up to €12,000, tax of 35% for annual incomes €12,001-35,000 and tax of 45% for incomes higher than €35,001.
According to state broadcaster ERT, the property limit could be 3 to 4 objects per lessor and the maximum rent could be up to 90 days per year.
In Attica, there are 2,500 rooms, apartments and houses rented via the Airbnb. The accommodation charge per night starts at 50 or 60 euro. On the islands, the situation is totally different with the charge to be often 500 or even 1,000 euros per night.
The ministries of Development and Tourism are reportedly in negotiation with Greece’s lender son this issue.
PS A tax to be charged in real time at and by the Airbnb platform during the transaction? I want to see this! Such an ambitious plan by the Greek tax authorities would rather make sense in the joint action of EU member states against Airbnb.