Greece’s Independent Authority for Public Revenue (AADE) has announced an electronic registry so property owners leasing their homes as short-term rentals can do so online.
Of interest to Greek Airbnb hosts, owners listing their homes via Airbnb and other platforms will be required to submit a short-term residence declaration for each tenant, and to enroll properties in a residential property data system, while at the same time declaring financial transactions. According to the announcement from AADE:
“As of today, 30 August 2018, the Short-term Property Registry is open on AADE’s site and the relevant application for the declaration of short-term leases (in calendar format) is currently operational”.
The AADE instructions go on to outline procedures for hosts and other parties, but in addition, all short-term rentals made from 1 January 2018 to 30 August 2018, operators are required by 30 November 2018 to enroll in the AADE’s registry and to submit an accumulative earnings declaration for the 1 January 2018-30 August 2018 period for each property leased separately.
The AADE goes on to note that it is “in advanced discussions with digital platforms operating in the sharing economy (Airbnb, Booking.com
As reported by Greek media, Airbnb’s Regional Policy Campaign Manager EMEA, Sofia Gkiousou, said that: “Today’s announcement is a positive move by the government to simplify the home sharing process for thousands of Greeks, and we are delighted to support it by making it even easier for the hosts responsible for sharing their space. Along with our cooperation, we can help families align with regulations, create new sources of income that will strengthen our society and help rebuild the Greek tourist product.”
Hosts not complying could face fines of up to €5,000 euros, according to the AADE.
For income up to 12,000 euros, tax is imposed at a rate of 15 percent. Takings between 12,001 and 35,000 euros will be taxed at a 35 percent rate; annual gains over 35,000 euros at a 45 percent rate.
For those offering additional services on the side, the earning are assessed as income from business activity and taxed at 22 percent for earnings up to 20,000 euros, 29 percent for yields between 20,001 and 30,000 euros, 37 percent for takings between 30,001 and 40,000 euros, and 45 percent for profits exceeding 40,000 euros.
The online platform aims to ensure compliance with taxation and consumer protection.
Meanwhile, Greek tax officials are stepping up efforts to worm out homeowners renting out properties on sharing platforms but failing to declare earnings. AADE inspectors are posing as tourists seeking to rent out short-term accommodation via home-sharing platforms.
Source: GTP by Maria Paravantes