Best Tax Lawyers in Santorini

1. About Tax Law in Santorini, Greece

Santorini follows the national Greek tax system, so there is no separate island-specific tax regime. Residents and businesses on the island are subject to the same framework of income tax, value added tax (VAT), property taxes, and other national levies as the rest of Greece. Enforcement and administration are centrally coordinated by the Independent Authority for Public Revenue (AADE) and the Ministry of Finance.

The tax environment has become increasingly digital in recent years. Taxpayers use Taxisnet to file returns and access services, and the government has expanded real-time reporting and data collection through platforms like myDATA for many businesses. This shift affects small hoteliers, guesthouse operators, and other Santorini businesses that rely on tourism revenue.

Understanding how these rules apply in Santorini requires recognizing two local realities: the island’s heavy reliance on tourism and its property market, which influences rental income, property ownership, and related levies. A Greek tax attorney or licensed tax advisor can help you navigate local practicalities such as seasonal income, apartment rentals, and villa ownership tied to tourism activity.

“Greek taxpayers interact with a centralized tax system administered by AADE, with services accessed through the government portal and Taxisnet.”

“The rise of digital reporting and myDATA has transformed how businesses report transactions in Greece, impacting Santorini hoteliers and property owners alike.”

2. Why You May Need a Lawyer

These are concrete, real-world situations that commonly require tax legal help for Santorini residents and businesses.

• Rental income disputes for vacation properties: A owner in Fira or Oia who rents multiple units and faces queries from AADE about declared income, allowable deductions, or occupancy tax requires legal guidance to prepare accurate declarations and respond to audits.
• Enforcement actions and audits involving ENFIA or property taxes: If the annual real estate tax assessment for a cliffside villa misvalues property or mismatches cadastral data, a tax attorney can help challenge the assessment and protect asset values.
• Hotel or guesthouse compliance with myDATA: Businesses that issue electronic invoices, collect VAT, and report daily transactions may need technical and legal counsel to ensure compliance and avoid penalties.
• Cross-border guest arrangements and VAT treatment: If you host international guests or operate through an online platform, counsel can clarify VAT obligations, registration, and potential exemptions or refunds.
• Real estate transfers and inheritance planning: Transferring ownership of Santorini property or handling an inherited villa requires careful planning to address potential capital gains, inheritance tax implications, and transfer taxes.
• Tax debt resolution and appeals: If you face penalties, interest accruals, or fast-tracked payment demands, a lawyer can negotiate with AADE and guide you through the appeals process.

3. Local Laws Overview

Santorini residents and businesses are governed by national tax laws enacted by the Greek Parliament, with administration and enforcement carried out by AADE and Greek government agencies. The following laws are central to most tax matters you will encounter in Santorini.

Kodikos Foforlogikis Diadikasias (Tax Procedure Code) - Law 4174/2013 governs audits, assessments, penalties, and the general procedural framework for tax administration in Greece. It remains the backbone of how tax authorities interact with taxpayers and how disputes are resolved.

VAT Law and the Value Added Tax framework - Law 2859/2000 sets out the general rules for VAT, including registration thresholds, rate structure, exemptions, invoicing requirements, and reporting obligations for businesses operating in Santorini or with Greek customers.

ENFIA and property taxation concepts (Unified Real Estate Tax) - implemented through successive amendments to property tax provisions address annual charges on real estate holdings, cadastral data, and related deductions. Local assessments and changes are periodically updated, so it is important to verify current rates and eligibility with AADE or a local attorney.

Recent trends include a continuing push toward real-time reporting and digital invoicing under myDATA, which affects hospitality operators and rental property owners in Santorini. Changes to audit procedures and penalties have also been introduced to enhance tax compliance and reduce evasion.

For practical guidance, consult official sources and consider a local attorney who understands how these laws are applied on Santorini's tourism-driven economy. See the official government portals listed in the Additional Resources section for the most current texts and updates.

4. Frequently Asked Questions

What is the role of AADE in Santorini tax audits?

AADE administers tax collection, conducts audits, and enforces tax compliance across Greece, including Santorini. They issue assessments, collect payments, and respond to taxpayer inquiries through Taxisnet and the Gov.gr portal.

How do I register for Taxisnet if I own rental property in Santorini?

Registration is via the AADE or Gov.gr portals. You will need a Greek tax number, a valid email, and a password to access filing services and manage rental declarations.

What is ENFIA and how does it affect my Santorini villa?

ENFIA is the annual property tax on real estate in Greece. Property owners must report cadastral data and pay the tax composition annually, with rates varying by property type, location, and size.

When should I expect to hear from AADE about my rental income?

AADE may request information during annual or targeted audits, typically within the standard assessment periods. Timely, accurate reporting reduces the risk of penalties or late-payment interest.

Do I need a lawyer to handle a tax dispute in Santorini?

If you face a formal tax assessment, penalty, or complex dispute, a tax attorney can evaluate your case, prepare a response, and represent you in negotiations or appeals with AADE.

Is my MyData reporting obligation only for large businesses?

MyData applies to a wide range of businesses including hospitality operators and property managers. It requires real-time or periodic reporting of transactions and invoices to the tax authorities.

Can I appeal a tax assessment against my Santorini property sale?

Yes, you can file an appeal through the formal administrative channels and, if needed, pursue judicial review. A lawyer can help prepare the record and represent you in hearings.

How long does a typical tax audit take in Greece?

Audit duration varies by complexity and workload. A straightforward inquiry may conclude in a few months, while more complex matters can extend to six months or longer.

What is the difference between income tax and rental income tax in Greece?

Income tax applies to total annual income, while rental income is taxed as a specified portion of gross rent after allowable deductions. Different rates and exemptions may apply for residents and non-residents.

Do I need to keep receipts for all Santorini rental expenses?

Yes, keep detailed records of income and expenses, including invoices, contracts, and bank statements. These documents support deductions and reduce audit risk.

What is the timeline for resolving a tax dispute in Santorini?

Timeline depends on the dispute type and court or administrative schedules. Most administrative appeals take several months, with possible extensions during review or remand stages.

5. Additional Resources

• Independent Authority for Public Revenue (AADE) - Official Greek tax authority responsible for administration, audits, and collections. Website: aade.gr
• Gov.gr - Official government portal for tax services, e-filing, and guidance. Website: gov.gr
• Hellenic Statistical Authority (ELSTAT) - Provides statistics that may inform tax planning and policy analysis. Website: statistics.gr

6. Next Steps

1. Gather all tax documents related to Santorini properties, rentals, and relevant businesses for the last three years. This includes invoices, contracts, and bank statements.
2. Check your Taxisnet access and ensure your information is up to date on Gov.gr. Correct any discrepancies before filing or responding to notices.
3. Consult a Greek tax attorney or licensed tax adviser with experience in Santorini's hospitality sector and property taxation. Request an initial case assessment and fee structure.
4. Prepare a disclosure package for your attorney, including ownership documents, rental income records, and any prior communications from AADE.
5. Develop an action plan for compliance with myDATA, VAT, and ENFIA obligations, including a timeline for upcoming filings and payments.
6. Consider a voluntary disclosure or settlement strategy if you have outstanding liabilities or penalties, guided by your lawyer’s advice.
7. Schedule an implementation timeline for any recommended changes to accounting systems, invoicing practices, or property management processes to maintain ongoing compliance.