Greece

Corporate - Significant developments

Last reviewed - 21 December 2020

On 12 December 2019, the new tax bill, which introduces several amendments to the Income Tax Code (ITC) and other legislation, was published in the Government Gazette. Among its provisions, the most significant are the following:

  • The reduction of the corporate income tax (CIT) rate to 24% from fiscal year 2019 onwards.
  • The reduction of dividend withholding tax (WHT) from 10% to 5% as of 1 January 2020.
  • The introduction of a participation exemption for capital gains from the sale of Greek and European Union (EU) subsidiaries as of 1 July 2020.

On 31 July 2020, Law 4714/2020, introducing amendments to the ITC and other legislation, was published in the Government Gazette. Among its most significant provisions are the following:

  • The transposition of the exit taxation and the hybrid mismatch rules laid down in the Directive (EU) 2016/1164, as amended by Directive (EU) 2017/952, with effect as of 1 January 2020.
  • The transposition of the EU Directive on Administrative Cooperation (DAC6).
  • The introduction of the possibility of retroactive effect of the Advance Pricing Agreement (APA) decisions.
  • The transposition of the Directive (EU) 2018/1910 as regards the harmonisation and simplification of certain rules in the system of value-added tax (VAT) for the taxation of transactions between member states.

As a result of the COVID-19 pandemic, the Greek government has introduced various tax measures. For more details, see PwC's COVID-19 Updates.