VAT Registration in Greece
Greece does not have a VAT registration threshold. All businesses engaged in economic activities within the country must register with the tax authorities, irrespective of their yearly income.
Moreover, Greece does not offer a distinct VAT registration; the tax identification number assigned to a taxpayer serves for all tax-related purposes, VAT included.
Register for VAT in Greece
Domestic Businesses
In Greece, businesses that conduct economic activities are required to register with the tax authorities and obtain a tax registration number, which is used for all tax-related matters, including VAT. There is no separate registration for VAT, and the tax registration number serves as the VAT number as well. The registration is completed with the appropriate tax office for the legal form of the business and its registered address. The documentation required for registration varies depending on the legal form of the business, and tax forms must also be submitted. Typically, the VAT number is issued within one week after the necessary documentation has been submitted.
Foreign Businesses
EU businesses can register for VAT directly with their country of establishment through email correspondence with the Tax Office “A” of Athens. However, non-EU businesses typically cannot register directly and must appoint a fiscal representative to do so on their behalf. To complete the registration process, the fiscal representative must submit a power of attorney, the company’s articles of association, and a certificate of good standing, along with their translations into Greek, to the competent tax office and file certain tax forms.
Mandatory Registration
There is no minimum threshold for VAT registration. Any individual or business engaged in “economic activity” within the country is required to register for VAT. This definition of economic activity includes a wide range of activities, from producers and merchants to those in the agricultural, mining, and service sectors, as well as those who generate income from tangible or intangible property. In addition, anyone who makes intra-Community supplies of new means of transportation is considered a taxable person for VAT purposes and must register accordingly.
Voluntary Registration
In Greece, nontaxable persons are not required to register for VAT. However, in certain situations, they may choose to do so voluntarily to be able to claim input VAT incurred on their purchases and expenses.
These situations include:
- The occasional supply of buildings
- The leasing of immovable property to taxable persons for their business activities.
Selling in Greece?
VAT Registration in Greece
Exemption from Registration
All legal and natural persons involved in economic activities are required to register for VAT, regardless of their turnover. However, there are exemptions for occasional sales of goods, such as buildings, which do not require VAT registration, except for certain situations, such as the sale of a new means of transport to another EU Member State. Additionally, the small enterprise scheme allows for VAT exemption for taxable persons whose revenues in the previous fiscal year fall below the small enterprise threshold.
The small enterprise scheme is not applicable for the following:
- Non-resident taxable persons
- Farmers subject to the flat-rate scheme
- Persons who are involved in the supply of new transportation means
Group and Divisional Registration
Group VAT registration is not allowed, meaning that there are no regulations related to group registration or divisional registration. Nevertheless, groups of companies may obtain a specific authorization to defer the payment of import VAT under the license of one member of the group.
Registration, Generally
Both Greek and non-Greek natural or legal persons are subject to the same registration requirements in Greece. Therefore, nonresident businesses must comply with the same rules as resident businesses. The small enterprise exemption from VAT reporting and payment is not applicable to nonresident businesses.
VAT Representative
If non-EU businesses are required to register for VAT in Greece, they must appoint a VAT representative during the registration process. However, EU-based businesses, excluding those in Greece, have the choice to appoint a local VAT representative but are not obliged to do so.
Distance Sales – New Regulation July 2021
As of July 2021, new regulations were put in place to eliminate country-specific VAT thresholds and replace them with an EU-wide distance selling threshold of EUR 10,000. This means that any distance selling revenues below this threshold are still subject to VAT in the country where the business is established or the country of origin. Additionally, any sales of goods and services are subject to tax in the country where they are delivered.
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Last Updated: 20/03/2024
Disclaimer
The information provided by Global VAT Compliance B.V. on this webpage is intended for general informational purposes only. Global VAT Compliance B.V. is not responsible for the accuracy of the information on these pages, and cannot be held liable for claims or losses deriving from the use of this information. If you wish to receive VAT related information please contact our experts at support@gvc.tax
