On 10 July 2014, a new amendment to the Immovable Property Tax Law (24/1980) was approved. Even though the law maintains last year’s tax rates based on 1980 property values, it now provides that the tax shall be paid by the persons who are in possession of the property regardless of whether the property is registered in their name. However, the law provides for exemptions in cases where the lack of a title deed is not due to fault of the user, as well as in cases where the owner is a legal person being wound up.

The deadline for payment of the immovable property tax is 30 November 2014. A 15% discount on the tax due (instead of 10% provided for last year) shall be granted in cases where a person settles his/her tax obligation 30 calendar days before the end of the deadline.

The law further clarifies that, in cases where the property is held in undivided shares, the tax shall be based on the proportion of the property owned by a person.

It is noted that the amendment takes effect from 1 January 2014.

The tax rates based on the value of the property are as follows:

Property Value Tax Rate

For each euro from €1 to €40.000                    6,0 ‰
For each euro from €40.001 to €120.000       8,0 ‰
For each euro from €120.001 to €170.000     9,0 ‰
For each euro from €170.001 to €300.000     11,0 ‰
For each euro from €300.001 to €500.000     13,0 ‰
For each euro from €500.001 to €800.000     15,0 ‰
For each euro from €800.001 to €3.000.000  17,0 ‰
For each euro from €3.000.001 and over        19,0 ‰