Greece Simplifies Tax Residency Offers Incentives to Attract Wealthy Individuals Professionals

Greece is streamlining its tax residency process to attract wealthy individuals, foreign retirees, and professionals. The Independent Authority for Public Revenue (AADE) is digitizing the process, allowing applicants to complete it online, significantly reducing the time to obtain a Greek tax identification number (AFM) from months to just a few days. Those seeking to work in Greece can benefit from a favorable tax regime, offering a 50% income tax reduction for qualified individuals for a period of seven years. An automated eligibility verification system via the Ministry of Labor and Ergani will further simplify this process. The new digital platform will also monitor compliance with investment obligations, such as the mandated €500,000 investment in real estate, stocks, or bonds, and employment status. Since 2020, Greece has attracted high-net-worth individuals by offering an alternative taxation of foreign-sourced income, with 233 applications submitted and 213 approved, resulting in €277.38 million invested into the Greek economy, averaging €1.3 million per person. Retirees are also increasingly drawn to Greece, with 1,411 applications and 879 approvals. The country's 7% flat tax on foreign-sourced income for up to 15 years, combined with its climate, serves as a strong incentive. Thousands of professionals, including returning Greeks, are also taking advantage of improved job prospects and tax incentives, with 7,887 applications filed under the program for workers and 4,915 approved.