Levy on Short-term Rentals to Boost Greek State Coffers by €48 million

Income earned from Airbnb-style rentals is set to be taxed up to 45 percent boosting state coffers by some 48 million euros in 2018.

A demand of Greece’s international lenders, the levy – to take effect next year – foresees taxation by 15 percent of annual income of up to 12,000 euros, 35 percent on profits between 12,001 and 35,000 euros, and 45 percent on those exceeding 35,001 euros, provided the properties are rented out furnished without additional services other than bed linen.

At the same time, for rentals offering additional services, taxation will be imposed as follows:

• 22 percent for gains up to 20,000 euros
• 29 percent on income between 20,001 and 30,000 euros
• 37 percent on earnings from 30,001 to 40,000 euros
• 45 percent on profits exceeding 40,000 euros.

Meanwhile, income earned this year from the short-term lease of properties will be taxed at a rate of 29 percent, according to Eleftheros Typos newspaper.