Thursday , February 22 2024
Home / News / Economy / Greece overhauls properties “objective values” with hikes reaching up to 250%

Greece overhauls properties “objective values” with hikes reaching up to 250%

Greece’s Finance Ministry announced the new property zone rates on Monday in an effort to adjust the so-called objective values with the commercial values and have millions of real estate owners be taxed for their properties accordingly.
The new property zones, 13,808 in total, are overhauled across the entire country and will apply from January 2022. The  Unified Property Tax ENFIA will be calculated accordingly next year.
While the new zone rates have an increase of 8% on the average, some reach even an increase of over 200%.

Finance Minister Christos Staikouras said on Monday that in five out of the nine zone rates announced (55%) there will be hikes averaging at 19.5%; another 21% of zones will see a decrease averaging at 14.7%, while 24% of the zones won’t have any change in their rates.

The Minister added that it is possible a new ENFIA deduction will be made in 2022, after the 22% average reduction in 2019. He said the increased financial burden will concern areas that until this year have been undertaxed, citing the example of the island of Mykonos.

The new “map” of the real estate is expected to set real estate transfer taxes on fire and trigger cause a domino effect of changes in taxes and fees that burden the real estate of taxpayers.

The increases reach even 250% in the areas that acquire zone prices for the first time, while the prices of the Tax Office in the so-called “poorer” districts of Attica go up  with the objective values jumping even more than 60%. Big increases will affect the neighborhoods in Daphne, Kamatero, Egaleo, Moschato.

Indicative increases

Biggest increase by 250% on the island of Ithaki

229% up for certain areas on Mykonos

108% Kos

94% Kassandra, Halkidiki

79% Kefalonia, 75% Hersonisos, Heraklio (Crete)

44% Chios, 38% Naxos (via cnn.gr)

In prominent Herodou Attikou Street in downtown Athens objective value increases from €9,000/square meter to €10,200, in “Laimos” Vouliagmeni from 8.900 to 10.800.

Unchanged remain the objective values in 2,729 zones, that correspond to 27% of the total zones.

Main opposition party SYRIZA sharply criticized the hikes saying that the average increase is “19.5% to 55%.”

The hike in so-called “objective” property market values will have an impact on the annual ENFIA property tax across lower-to-middle value assets, while another 20 taxes will also be imposed, the party said in a statement.

“The timing of this increase, in the middle of a pandemic and an economic crisis, will lead to a massive burden on hundreds of thousands of low-income households and the middle class,” SYRIZA stressed.

The government claims that in the end the total revenues in ENFIA will remain the same even with the hikes.

Media report that the government plans to extend ENFIA payment into 12 installments from five currently.

PS who cares about low- and middle-income classes? All the government cares about is .. investment, also in real estate.

Check Also

Greece seeks to tax capital gains from cryptocurrency

Greece’s Finance Ministry and tax authorities are preparing to create a framework for the taxation …

3 comments

  1. you didnt think we were gonna let you keep your house, did you?
    how else are we going to ‘reset’ things? didn’t you get the memo? ‘by 2030, you will own nothing’. we mean it.

  2. Savvas Andreas

    Are they due to announce exemptions for the vaccinated?

  3. You know next time which box NOT to put your ‘X’ in !!!