If you are considering renting out your property through platforms such as Airbnb, there are some important considerations to take into account.
From March to October, a daily climate tax of €1.50 applies to rental properties. For detached houses larger than 80 m², this charge is €10.00 per day. During the winter months, from November to February, the tax surcharge is €0.50 per day, and for larger detached houses this rises to €4.00 per day. This scheme has been in force since 1 January 2024.
The climate tax is paid by the guest, but the property owner is responsible for remitting it to the tax authorities.
The government introduced this tax to generate additional revenue for a special fund meant for government projects and sustainability initiatives.
Since 1 January 2024, a residence tax of 0.5% of the rental amount applies. This tax is collected from the guest and remitted to the tax authorities. Previously, this tax only applied to tourism businesses, but now it also applies to rental properties.
There used to be a 90-day limit for short-term rentals, but it has been reduced to 60 days since 1 January 2024. The specific regions where this limit will apply are not yet clear. For now, homeowners remain free to rent out their property throughout the year.
If you rent out your property in Greece, and therefore Rhodes, you must pay tax on the rental income according to the following rates:
With 2 owners, e.g. as a married couple, or with 2 investors, it may be more advantageous to buy jointly rather than alone, since tax rates are calculated per owner. The tax rates for two buyers are as follows:
With high rental income, it can also be advantageous to purchase property as a business, as you can deduct costs, expenses and depreciation. The corporate tax rate in Greece is currently 22% and will decrease in the coming years. Our legal team can help you explore this option and determine what is best for you.
