Greece Tax Deductions
- All forms of tax relief relate to the income of an individual in Greece.
- The following amounts are subject to the definitions and limits in the Greek law.
|Personal Tax Relief||Comments|
|Compulsory social security payments||Fully deductable.|
|Donations||Up to 20% of taxable income, subject to limits.|
Greece Business DeductionsIn addition to the reductions/credits specified above, reductions and business expenses may be claimed in Greece as follows:
- Offset of losses - a loss may be offset up to 5 years forward.
There is no carryback of losses.
- Consolidated statements - it is not possible in Greece to offset a loss in one company in a group against the profit of another company in the group.
- Financing costs - Interest on credit is allowable for tax only up to 30% of the company income before EBITDA when income exceeds EUR 3 million.
Non deductible interest can be carried forward, subject to certain terms.
- Agriculture Income - There is a 60% deduction.
- Royalties Income - There is a 40% deduction.
- Bad Debts-For a period exceeding one year bad debts are 100% deductible when the debt is under EUR 1,000 .For debts above this ceiling, when the debt's period is above one year, 50%-100% are deductible according to the age of the debt.
An employer's contributions to pension and health funds that are not legally compulsory are allowable to a limit of BGL 40 a month for each employee. End delete
Greece Depreciation of Fixed Assets
- The customary method of depreciation in Greece is the straight line method.
- A table of rates of depreciation according to the straight line method is as follows:
Type of Asset Depreciation Percentage Buildings 4% Machinery and equipment 10% Transport vehicles 12%-50% Computers and software 20% Vehicles 25%-50% Other fixed assets 10% Intangible Assets 10%