Greece Passes New Tourism Tax, Short-term Rental Rules

by Maria Paravantes 8 December 2023

written by Maria Paravantes 8 December 2023 10 comments

Greek lawmakers voted in favor of an updated tax bill which includes the introduction of a tourism charge and new short-term rentals regulations in parliament this week.

More specifically 158 MPs voted in favor of the bill tabled by National Economy and Finance Minister Kostis Hatzidakis and 140 against.

The bill legislates reforms aimed at tackling tax evasion and ensuring fair taxation and the necessary resources to strengthen social policy.

The new law foresees the following changes affecting tourist accommodation and Airbnb-style rentals:

– the current stayover tax charged on hotel guests will be replaced with the new “climate crisis resilience charge”, which means that hoteliers/property owners leasing out one room/property or more will be required to charge an extra daily scaled fee which will range from 1.5-euros to 10 euros in March-October and 0.5 euros to 4 euros from November to February. The charge is applicable to all forms of tourist accommodation, including hotels, rooms to let, villas and Airbnbs. Revenues from this charge will go into a specially created emergency fund for natural disasters

– persons leasing out three or more properties for short-term tourist lease will be required start business operations, including keeping financial accounts, paying VAT and other taxes

– those leasing their properties for short-term accommodation purposes but have failed to register on the government’s online short-term rentals registry will have to pay a fine equal to 50 percent of the previous year’s gross income and a minimum of 5,000 euros

– a short-term rental is defined as the lease or sublease for a specific period of time, less than 60 days, of a property posted on a digital platform and as long as no other services are provided apart from accommodation and the provision of bed linen

– a stayover duty, in favor of the municipalities, of 0.5 percent on income is extended to short-term rental operations.

Additionally, the new law requires that all real estate purchases and sales be made exclusively using bank payments. Contracts stating partial or total payment of the price in cash are void. At the same time, fines for sales of more than 500 euros in cash applicable to businesses and currently at 100 euros have been increased to double the value of the transaction.

Follow GTP Headlines on Google News to keep up to date with all the latest on tourism and travel in Greece.

Maria Paravantes

Chicago-born and raised, Maria Paravantes has over two decades of journalistic experience covering tourism and travel, gastronomy, arts, music and culture, economy and finance, politics, health and social issues for international press and media. She has worked for Reuters, The Telegraph, Huffington Post, Billboard Magazine, Time Out Athens, the Athens News, Odyssey Magazine and SETimes.com, among others. She has also served as Special Advisor to Greece’s minister of Foreign Affairs, and to the mayor of Athens on international press and media issues. Maria is currently a reporter, content and features writer for GTP Headlines.

Greece and Turkey Sign Accord for Joint Actions in Tourism

10 comments

Dan Kaye 23 June 2024 - 00:04

We do our best to avoid vacations in countries that require the pre-issuing of a paid visa.
Now this enlarged tourist tax, probably the highest in the world, will have a similar effect on our decisions.
It seems it is time for vacations in destinations that are less taxed. Shame.

nick zendilis 17 May 2024 - 07:08

This is a rip off!! Tourists will go to other countries without this stupid tax!
If Greece wants to raise revenue which is for NATURAL DISASTERS get the money from natural revenue collections.
THIS IS LIKE PAYING THE MAFIA for repairs to your own house!
Silly thinking by some politicians!! the vote was just passed by small minority.
The cost to tourism will be huge! nikos zendilis. Australia.
In Australia we all pay TAXES to fix our streets and support natural disaster policy.
WAKE UP GREEK GOVERNMENT..

Lynda Reid 5 January 2024 - 03:15

We are travelling to Greece from NZ in 2024 and spending 90 days there – we have pre-booked all of our accommodation (some direct, some through Booking.com). We have been emailed by Booking.com to advise us of this new tax and they have said it applies “per person”, yet all the website info I can find on this states that the tax is a room rate (depending on the accommodation type). Does anyone know where we can get definitive advice on this? It may have been a little fairer if the tax were applied to people booking accommodation from 1 January 2024, rather than applying it retrospectively to those who’ve already booked before the effective date of the new tax!!

John Tate 3 January 2024 - 00:24

We stopped going to Turkey many years ago when we had to pay £10 each to enter the country in cash.
Greece has been our favourite destination for years but tourist taxes make you consider alternatives.

Phil W 22 December 2023 - 20:31

We will be cancelling our planed trips to Greek islands in 2024…..this is too much…..back to Spain and Portugal for us

Stephen Bartholomew 21 December 2023 - 21:10

Surely a lot of politicians represent tourist areas. Where a lot of people live and work for 6months and rely on tourists to survive the next 6 months. They must have voted against this ridiculous increase ordo they want rid of UK tourist who spend thousands on holidays none spending eastern europeans and also the none spending none drinking Germans.
Disappointed. It’ll back to Spain or Bulgaria.

Frank Marella Olsen 19 December 2023 - 10:53

How do we find out how much the tax will be for small shrt term rentals, and how do we pay it ?

E 12 December 2023 - 01:27

I completely agree that this new tax will deter English tourists from buying holidays in Greece unfortunately. What a shame.

M Cole 11 December 2023 - 17:49

Wow! The Tourism Tax charge for a 5* hotel during the 2023 summer was 4 euros per room, per night. From summer 2024 it will be 10 euros per room, per night. We have stayed in a 5* Rhodes hotel TWICE a year, for 2 week’s, for 16 year’s, so 2023 will now cost us 140 euros tax instead of 56 euros! That is absolutely scandalous! Why should the tourist pay for Greece’s ‘Climate Crisis Resilience’? Do Greeks get stung financially by the UK when they visit our country? NO! Our hotel currently costs us approximately £5,500 on each of our two, 2-week holidays. That is £11,000 being spend in Greece for a start! Add on taxi transfers booked direct on Rhodes, plus what we spend on trips, items to take home, local buses, restaurants, etc., and we spend a lot of euros. As we have had our two 2024 holidays booked for 10 month’s we will be going BUT, we will seriously be looking at booking long haul for November 2024 instead of our beloved 2 Rhodes holidays, a total of 4 week’s. I have a feeling that many Greek lovers will be turning their backs on you and going elsewhere. Greece has made a mistake on this Tax, and it will surely show in the loss of regular, high-spending, LOYAL visitors. So disappointed in your Government. Shame on you, Greece for fleecing the tourist .

Orri 12 December 2023 - 17:10

Exactly right. I assure you the Greek people are mostly against this tax. As always, parasitical politicians and bureacrats want to slaughter the goose that lays the golden eggs, and extract more money via productive private businesses and citizens who work their butts off to make a living.

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