VAT GUIDE IN GREECE
GREEK VAT GUIDE FOR BUSINESSES
VAT in Greece is a key component of the country’s tax system and is governed by the provisions of the Greek VAT Code, in alignment with the EU VAT Directive. VAT is a consumption tax applied to the supply of goods and services within Greece, as well as to imports and certain intra-Community transactions.
All individuals and legal entities engaged in economic activities in Greece are generally required to register for VAT if their turnover exceeds specific thresholds. Non-established businesses may also have VAT obligations in Greece depending on the nature of their activities.
The Greek tax authority responsible for VAT administration is the Independent Authority for Public Revenue (IAPR). The IAPR conducts VAT audits and enforces penalties for non-compliance, including late registration, filing errors, and underpayment of VAT.
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VAT Rates
Who Needs to Register for VAT?
A taxable person in Greece is any entity or individual conducting taxable activities in Greece, such as supplying goods/services, making imports, intra-Community acquisitions, or exceeding the distance sales threshold.
No registration threshold exists in Greece—all taxable persons must register for VAT regardless of turnover.
There is no option for voluntary registration or special VAT rules for small businesses.
Pure holding companies must still register for VAT even if they don’t make taxable supplies.
Greece has not implemented the VAT cost-sharing exemption under EU law.
Greece provides no local guidance on the concept of a fixed establishment, so EU rules apply.
Non-established businesses must register for VAT in Greece if they:
- Supply goods located in Greece,
- Make intra-Community acquisitions,
- Exceed EUR 10,000 in distance sales,
- Import goods, or
- Provide services not subject to the reverse charge.
VAT Obligations
VAT Invoices
Taxable persons in Greece are generally required to issue a VAT invoice for all taxable transactions, including exports and intra-Community supplies. For business-to-consumer (B2C) sales, a retail receipt must be provided instead.
Records
Businesses established in Greece must keep tax records, accounting books, and supporting documents. These records may be stored outside Greece, provided they can be made available to the tax authorities within a reasonable time during an audit.
Non-established businesses registered for VAT in Greece must retain all documents related to Greek VAT activities (e.g., invoices, transport documents, bank statements, import/export records), which may also be stored abroad under the same condition.
Retention Period
Records must be kept for five years from the end of the tax year in which the tax return deadline expires.
Electronic Archiving
Allowed, as long as records are searchable, viewable, and printable. Printed documents may be digitized, and authenticity and integrity must be maintained for each invoice.
VAT Deadlines
VAT Returns
Filing deadline: Last business day of the month following the end of the return period.
Frequency: Monthly: For businesses with double-entry accounting. Quarterly: For businesses with single-entry accounting, including foreign VAT-registered entities.
No return required if business activity is suspended or deactivated (until reactivation).
From 1 January 2024, VAT return data must match the data submitted to the myDATA platform: Revenues must not be less, and expenses must not exceed myDATA entries (excess expenses won’t be deductible).
VAT Payments
- Deadline: Same as the VAT return – last business day of the following month.
- If VAT due exceeds EUR100, it may be paid in two equal installments:
- 1st installment: By the return deadline.
- 2nd installment: By the last business day of the next month.
Payments must be made electronically.
VAT Refund
Non-established and non-registered businesses may recover Greek VAT to the same extent as local VAT-registered businesses.
EU Businesses: refunds follow EU Directive 2008/9/EC and it allowed only if the business did not make taxable supplies in Greece (except for reverse charge transactions).
Application process:
- Submit electronically, in Greek or English.
- Attach scanned copies of invoices.
Non-EU Businesses: No refunds for most non-EU businesses (including UK). Exceptions: Refunds allowed for Norway, Switzerland, and Northern Ireland.
The claim period is At least 3 months, up to 1 year (can be shorter if it’s the end of the year).
The deadline to Submit is September 30 of the year following the refund period.
Submission must be in hard copy to the VAT Division of the Greek Ministry of Finance.
Penalties for non-compliance
Penalties for Late Registration
A penalty of 50% of the VAT unpaid during unregistered business operation is imposed.
Penalties for Late Payment and Filing
Late VAT return: €100–€500 fine.
Inaccurate or missing VAT return causing unpaid VAT or wrongful input tax refund: penalty of 50% of unpaid VAT or difference.
Late payment or underpayment: Interest charged monthly at 0.73% on the unpaid VAT until payment.
Intrastat and EC listings: €100 penalty for late, inaccurate, or missing filings.
Penalties may be reduced if the taxpayer agrees with audit findings promptly.
Penalties for Errors
Failure to issue or issuance/acceptance of inaccurate invoices: 50% penalty of unpaid VAT or relevant difference.
Late or failure to notify VAT registration changes: €100 penalty.
Penalties for Fraud
Criminal sanctions apply for intentional VAT evasion:
2 to 5 years imprisonment if unpaid VAT ≤ €50,000 annually.
5 to 20 years imprisonment if unpaid VAT > €100,000 annually.
Anyone knowingly signing false tax returns or aiding evasion is punished as an accomplice.
Common VAT Terms
- Value Added Tax (VAT) — Φόρος Προστιθέμενης Αξίας (ΦΠΑ)
- Taxable Person — Υποκείμενος σε Φόρο
- Taxable Supply — Φορολογητέα Παροχή
- VAT Registration — Εγγραφή ΦΠΑ
- VAT Return — Δήλωση ΦΠΑ
- Input Tax — Φόρος Εισροών
- Output Tax — Φόρος Εκροών
- Taxable Amount — Φορολογητέο Ποσό
- Exempt Supply — Απαλλασσόμενη Παροχή
- Reverse Charge — Αντιστροφή Χρέωσης
- Tax Invoice — Τιμολόγιο ΦΠΑ
- Electronic Invoice (e-invoice) — Ηλεκτρονικό Τιμολόγιο
- Tax Period — Φορολογική Περίοδος
- Tax Authority — Φορολογική Αρχή
- VAT Deduction — Εκπίπτουσα ΦΠΑ
- VAT Refund — Επιστροφή ΦΠΑ
- Intrastat Declaration — Δήλωση Intrastat
- Distance Selling — Πωλήσεις από Απόσταση
- Import VAT — ΦΠΑ Εισαγωγής
- Export — Εξαγωγή
- Non-established Business — Επιχείρηση χωρίς Έδρα
- Penalty — Πρόστιμο
