Freelancers: Easier Tax Repatriation on the Way

The government is accelerating the integration process of individuals who relocate their tax residency to Greece, enhancing current favorable regulations. This move aims to boost the wave of returnees—workers, professionals, and employees who migrated during the economic crisis. Through provisions set to be incorporated into the new customs code, initial delays in accessing a favorable tax regime will be addressed. This regime offers a 50% tax reduction for income earned within Greece from employment or individual entrepreneurial activity for seven years. Additional benefits include exemptions from certain living proofs related to housing or vehicles. The intervention follows complaints from hundreds of eligible individuals who returned but missed out on timely registration, losing tax benefits. Further proposals under discussion include increasing the tax discount beyond the current limit, extending the duration of the favorable regime, expanding coverage to family members (spouses and children), and broadening tax exemptions to more income categories. The goal aligns Greece with countries like Portugal, Italy, and Spain to attract skilled workers globally. Key interventions involve automating pre-approval processes, upgrading tax incentives, extending timeframes, and covering family members. To qualify, applicants must not have been Greek tax residents for five of the previous six years, transfer their tax residency from an EU/EOC country or one with administrative cooperation agreements, provide services exclusively for new job positions, and commit to staying in Greece for at least two years. Supporting documentation includes employment contracts and official declarations. Research confirms the significance of these tax incentives, with 49% of returnees citing them as a primary motivator. However, challenges persist, including bureaucratic hurdles and inadequate state information.