Greece is becoming a centre for millionaires.1,200 tycoons will move to the country in 2024, 64,700 are already here
Wealthy relocating to Greece
Around 1,100 foreign millionaires (people with liquid or investable wealth of more than $1 million) moved to Greece in 2023 and a further 1,200 are expected to do so in 2024.
The “hot” spots are Attica, Mykonos and Crete.
“Despite a difficult start to the decade following the Greek debt crisis, Greece has seen a strong recovery, with wealthy relocating to Greece making property prices and the number of millionaires in the country increasing significantly, especially in recent years”.Greece already has 64,700 millionaires, 105 people with assets of more than $100 million and 8 billionaires – the country’s millionaire population has grown by 14% in the last decade.
Globally, 128,000 of the millionaires plan to migrate to another country in 2024, with Greece ranking eighth among the top countries attracting them.
The UK will lose 9,500 millionaires this year, compared to a loss of 4,200 in 2023, while China will lose the most (15,200).
For the third year in a row, the country attracting the most millionaires is the United Arab Emirates, with 6,700 people expected to migrate there by the end of the year. With zero income tax, a golden visa, luxury lifestyle and strategic location, the UAE is expected to attract almost twice as many millionaires this year as the next closest destination, which is the US.
“As the world faces a perfect storm of geopolitical tensions, economic uncertainty and social unrest, millionaires are voting with their feet in record numbers.” “In many ways, this large migration of millionaires is a precursor indicator, signaling a major shift in the global landscape and tectonic plates of wealth and power, with broad implications for the future trajectory of the countries they leave behind or choose for their new home.”
How many high network individuals already live in Greece?
22,600 millionaires in the Athens area by the end of 2023, making the Greek capital an emerging centre of wealth. This population has grown by 15% in the last 10 years – the above figures are for Athens and nearby coastal areas such as Glyfada and Piraeus. At the same time, the Greek capital is home to 42 people with fortunes of more than $100 million and 3 billionaires.
“Athens is one of the oldest cities in the world, with a recorded history of more than 3,000 years.” “Despite a difficult start to the decade, following the Greek economic crisis, Athens has recovered strongly, with property prices and the numbers of high-income earners in the city increasing significantly in recent years especially, largely due to the Golden Visa programme.”
Greece welcomes high net worth individuals (HNWI)
Greece aims to attract foreign capital and wealthy relocating to Greece for this reason has formed a more favourable tax regime for all those who wish to invest in Greece and make it the centre of their business activities.
The measure is targeted towards High Net Worth Individuals and aims to increase public revenue, import fresh capital, create new jobs, recover the real estate market and generally boost the Greek economy.
What is the Greek proposition for High Net Worth Individuals?
The regime refers to the application of an alternative way to tax income generated outside the Greek territory, for individuals who transfer their tax residence in Greece, a system which is similar to Non-dom regimes, applicable to other jurisdictions.
The law provides to the aforementioned individuals the opportunity to be taxed in Greece for income derived from foreign activities, with a fixed annual tax of euro 100.000.
Who can be subject to this favourable regime and under which requirements?
Wealthy relocating to Greece can be subject to this new regime if they:
a) Were not Greek tax residents over the last seven (7) out of eight (8) years before the application to transfer their tax residence in Greece, and
b) Prove that they invest directly or indirectly, in real estate, enterprises, securities, shares in legal entities established in Greece. The minimum amount of the investment is euro five hundred thousand (500.000 €) and has to be completed within three (3) years from the date of the submission of the application to transfer their tax residence to Greece.
The requirement to complete the investment does not apply to individuals who already have acquired and maintain a residence permit for investment activities in Greece (Golden Visa regime).
There is also a provision for the individuals to request an extension of the measure for any family member who is willing to come to Greece, for an additional tax of euro 20.000 € annually, per additional family member.
Another significant incentive is that the persons who opt for this new regime are exempted from taxes regarding gifts, inheritance and parental donation.
The application of the measure cannot exceed 15 years from the first year of the application’s submission.
What is the process in order to be subject to this regime?
- The individuals have to submit an application until the 31st of March of each tax year. They declare in this application the jurisdiction where they had their last tax residence before the aforementioned submission.
- The application is approved or rejected by the Greek tax authority within 60 days.
- The tax authorities of the jurisdiction, where the individual had its last tax residence, will be informed, in accordance with the provisions of international administrative cooperation.
- The individuals have to pay the annual tax for their foreign income within 30 days from the approval of their application.
What are the benefits of this new regime?
It is clearly understood that the measure aims to attract High Net Worth Individuals, who have their assets and business activities all over the world. Since no physical presence in Greece is required, the individuals may choose their place of actual residence (considering regulations, if any, imposed by other jurisdictions regarding permanent residence), and still benefit from the regime provided that they choose Greece as their tax residence.
In order for individuals to benefit from this measure, they have to pay annually a tax amount of euro 100.000 to the Greek Tax Authority. Considering the fact that there is no tax scale and the taxable amount is fixed, the higher the value of assets and the income derived from such property, the higher the benefit.
When individuals pay the above-mentioned tax, their tax obligation is exhausted with regard to income derived from any foreign activities, yet they are subject to tax for income derived from any activities in Greece in pursuance with the general provisions of the Greek Income Tax Code.
Some jurisdictions already apply similar Non-dom systems (United Kingdom, Cyprus, Malta, Ireland, Italy, Portugal) and have attracted a great number of investors, while these jurisdictions have seen a significant increment on their tax revenue.
By attracting both foreign and expatriate investors through the investment plan within this new tax regime, Greece could see a significant increase in business competitiveness, resulting in an inflow of skilled professionals from other business centres to Greece. This would have been very difficult, especially in the recent past.
Therefore, the plan could tackle “brain drain” but also to boost the national economy in Greece.
Why would anyone transfer their tax residence and invest in Greece?
Greece provides an excellent package for High Net Worth Individuals.
The benefits for both investors and their family members are of great significance, since they are exempted, inter alia, from taxes regarding gifts, inheritance and parental donations, while in parallel, this regime does not provide for minimum time of stay in the country. As a result, a very protecting environment is ensured for both the investor and his /her family members.
What does this information mean?
Having regained its credibility, following a ten year austerity period and a successful recovery programme, Greece has now become the ideal place for business activities.
Contrary to other jurisdictions offering similar regimes, except for the regime itself, Greece also offers attractive taxation measures to investors, such as the reduction of tax on dividends to 5%.
The international tax legislation is very complicated. However, the questions that need to be answered are specific:
- What will be the annual tax benefit, for an individual under this new regime?
- What are the consequences in the existing property structures of an individual’s decision to be subject in this new regime?
- How effective will this new regime be for the protection of the worldwide income and assets?
How we can assist you?
Wealthy relocating to Greece and high Net Worth Individuals face significant challenges on the protection of their assets due to their activities in many jurisdictions. As a result, they are faced with complicated and interdependent tax issues.
You can contact the experienced in international tax lawyers consultants of Economou & Economou law office in Athens Greece, who in cooperation with the best tax consultants and advisors in Greece, will assist and advise you so that you can decide if is of benefit to you to be subject to this new tax regime
Planning to relocate to Greece as a high-net-worth individual? Economou & Economou law office will make your move seamless. From obtaining residency permits to tax planning, property acquisition, and investment opportunities, we handle every detail to ensure a smooth transition. Our expert team offers personalized advice on Greece’s Golden Visa program, legal requirements, and the best areas to live. Enjoy Greece’s rich culture, stunning landscapes, and favorable tax benefits with peace of mind. Trust us to manage your relocation with discretion and professionalism. Start your new life in Greece with confidence—contact us here.
Digital nomads and expatriate Greeks, globe-trotting multimillionaires, pensioners and property investors are all arriving in growing numbers to set up residence in Greece. Attracted by the country’s favorable tax regime, investment incentives and unparalleled quality of life, recent data show that Greece is becoming a destination for highly skilled and high net worth individuals from around the world.
Economou & Economou law office is recommended as the best law office for wealthy relocating at Greece and high net worth Individuals relocating to Greece by Lawzana.
You can contact the experienced in international tax lawyers consultants of Economou & Economou law office in Athens Greece, at (+30) 2103603824, econlaw@live.com, who in cooperation with the best tax consultants and advisors in Greece, will assist and advise you so that you can decide if is of benefit to you to be subject to this new tax regime. Or complete our contact form
