Taxpayers have two weeks to comply to complete property transfers and sign contracts with the old property values.
On 31 March is the expiry date of the extension given by the Ministry of Finance for cases submitted declarations before the end of 2021 at the Tax Offices or on the myProperty platform of the Hellenic Public Revenue Service. Until the same date, transfers will be made by engineering certificate, without the Electronic Building Identity.
From 1 April 2022, all contracts will be signed on the basis of the new property values, while the cost of the Electronic Building Identity can even reach 1,000 euros.
It is noted that with a new provision, if the transferor wishes or in case there is an impossibility to issue the certificate of non-payment of the TAP within three three days for any reason, the transferor has the possibility to pay to the notary at the time of conclusion of the contract, as a guarantee until the settlement of the debt, an amount corresponding to a percentage of three thousandths (0,3‰) of the sale value of the property. This amount is paid by the notary through electronic banking to the municipality on behalf of the buyer. The proof of deposit of the amount has the status of a certificate. The municipalities are required to post on their website the deposit accounts for the above amounts, as well as relevant instructions for the interested parties.
Over €350 million in public funds
Within a year, since last March, that the myProperty platform for real estate transactions was activated, more than 75.00 declarations have been submitted real estate transfer tax. The increase in transfers also brought 60% increase in taxes collected by the State, and amounted to approximately EUR 350 million.
Indicatively, the revenues collected from the tax on the transfer of buildings were increased compared to 2020 by EUR 69,08 million, from the tax on the transfer of land and farms by EUR 33.06 million and by EUR 40.8 million from the concentration of funds, while revenues from inheritance taxes and fees increased by EUR 14.19 million and from taxes and fees on gifts, parental and other benefits by EUR 3.74 million.
Which documents are required
The basic documents required to complete the transfer of a property in the case of a purchase and sale are:
- Title of ownership
- Building permit
- Photocopies of the parties' IDs, Tax ID and Income Tax
- Document of completion of the property settlement procedure
- Engineer's certificate of autopsy
- Energy efficiency certificate
- Tax information of the owner
- Insurance information of the owner
- ENFIA certificate
- Certificate of non-payment of inheritance/parental benefit/gift tax
- A certificate from the municipality stating that no Real Estate Tax (TAP) is due for the transferred property
- Transfer tax 3%
It is worth noting that the purchase and sale of real estate is subject to 3% transfer tax on the objective value. In cases involving a primary residence, the 3% rate is imposed on the part of the value that exceeds the tax-free thresholds, amounting to €200,000 for an unmarried person and €250,000 for a married person.
The amount is increased by €25,000 for each of the first two children and by €30,000 for the third and each of the following children.
