Greece has become a popular choice for real estate investment due to its beautiful landscapes, rich culture and varied property options. If you're planning to buy or sell property in Greece, it's important to understand the significance of the Greek tax number. This article will provide comprehensive information about the Greek tax number, its general use, and its role in real estate transactions. Moreover, we'll guide you through the process of acquiring this number. 

What is the Greek Tax Number?

The Greek Tax Number, known as "AFM" (Arithmo Forologikou Mitroou), is a unique identification number assigned to individuals and legal entities for tax purposes. It serves as a means for the Greek tax authorities to monitor financial transactions and ensure compliance with tax regulations.

 

General Uses of the Greek Tax Number

The Greek Tax Number is utilised in various financial and legal transactions, including:

Employment and Income Tax: Greek residents, whether employed or self-employed, must provide their tax number to their employers or clients for tax withholding purposes.

Banking Transactions: Opening a bank account in Greece requires a valid Greek Tax Number.

Business Operations: Companies operating in Greece, both domestic and foreign, need a Greek Tax Number for legal and taxation purposes.

Real Estate Transactions: One of the critical applications of the Greek Tax Number is in real estate transactions, whether buying or selling property.

The Significance in Real Estate Transactions

In the context of real estate transactions, the Greek Tax Number plays a pivotal role. Here's why:

Property Purchase: Whether a Greek citizen or a foreign national, you must provide your Greek Tax Number when purchasing real estate. This identification ensures that the tax authorities can track property transactions and enforce applicable taxes.

Tax Declarations: Property owners are required to submit annual tax declarations. The Greek Tax Number is a fundamental component of this process, linking the property to its rightful owner for tax assessment.

Notary Procedures: When finalising a property transaction, a notary is required. The Greek Tax Number is necessary for notary procedures, emphasising its significance in the legal aspects of property transactions.

Obtaining the Greek Tax Number

For Greek Citizens

Greek citizens can obtain their tax number by visiting the local tax office (DOY) in their area of residence. The procedure is free of charge, and the following documents are typically required:

• Valid identification (ID card or passport)
• Proof of residence (utility bill or rental agreement)
• Social Security Number (AMKA)
• Employment or income details

For Foreign Nationals and Greek Citizens Living Abroad

The process of obtaining a Greek Tax Number isn’t limited to residents within Greece. Foreign nationals and Greek citizens living abroad can also get their tax numbers remotely by appointing a representative. Here are the steps:

Appoint a Representative: Designate a trusted individual or a legal representative in Greece to act on your behalf in the tax number application process. This is typically an accountant or a lawyer.

Provide Necessary Documents: Prepare and send the necessary documents to your appointed representative, including a copy of your valid passport, proof of residence, and any additional documentation required by the tax authorities.

Formal Authorisation: Complete a statement stating your intention to obtain a Greek Tax Number and have your representative submit it on your behalf.

Submission to Tax Office: Your appointed representative will visit the local tax office and submit all the required documents and declarations.

Wait for Approval: The tax office will process the application. The tax number is issued on the same day. The entire procedure is free of charge.

This remote option facilitates the process for individuals who may not be physically present in Greece but wish to engage in real estate transactions or other financial activities requiring a Greek Tax Number. Ensuring that your appointed representative has the documentation and authorisation to act on your behalf during this process is essential.

Knowing the significance of the Greek Tax Number before engaging in real estate dealings in Greece is important. This unique identifier is a prerequisite for anyone, whether a Greek citizen or a foreign national, to ensure smooth and legally compliant property transactions. Acquainting oneself with the process and requirements can help simplify real estate experiences in the country.

Are you interested in buying a house in Greece to live in, spend your holidays in or as an investment property?

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