VAT on transfers of new property is frozen for another year.
A batch of new measures go into effects in January seeks to reduce the tax burden on citizens. It includes several breaks, which can be summarized as follows:
– Freelancers. Tax burdens for many freelancers are slashed.
– Business fee. Those paid with invoices (“blokaki”) will have a tax benefit of €400-500 from the abolition of the business fee.
– Contributions. Employees will see net earnings rise thanks to the social security contribution cut, with employers also benefitting.
– ENFIA. Double reduction to the Single Property Tax, from 10% to 20%, for main residencies valued up to €500,000 insured for natural disaster (fire, earthquake, flood).
– ENFIA for listed buildings. Permanent exemption from ENFIA for listed buildings worth up to €400,000.
– Rentals. Taxpayers who after September 8, 2024 opened residences closed for the last three years to rent them out, or those who switch from short- to long-term leases will be exempt for three years from rent income tax.
– VAT on realty. VAT on transfers of new property is frozen for another year.
– New parents. Tax exemption of voluntary financial benefits by employers to new parents.
– Insurance premiums. Healthcare contracts for people up to 18 years old are exempt from the 15% premium tax.
– Tips. Tax-free ceiling of €300 per month for tips employees get in food service, personal care etc.
– Fixed Telephony. The 5% fee is abolished for fiber optic connections of 100 mbps and over.
– Resilience fee. The climate crisis fee is increased, imposed per night on hotel rooms and short-term rentals.
– Short-term rental permits. Registration is not allowed in 2025 for properties in the 1st, 2nd and 3rd districts of Athens.
– Tax deduction. The deduction for a one-time payment of income tax is increased to 4% for those who submit a tax return by April 30.
– Tax returns. The start and end date of declarations is set by law for the first time, as are fines for omissions by the tax office and entities obliged to submit taxpayer data.