The Greek government is planning incentives for foreign pensioners to establish second homes and tax residency in Greece as part of the country’s efforts to tap into the fast-growing “Silver Economy”. The European Commission estimates that by 2025, the needs and demands of Europe’s seniors will grow to €5.7 trillion, up from more than €3.7 trillion now. By 2060, one in three Europeans will be over the age of 65. With its sunny climate and home to the healthy Mediterranean diet, many analysts say Greece has the potential to become the Florida of Europe.

The Greek government’s effective handling of the coronavirus pandemic has also further raised Greece’s profile as a retirement destination.

As people understand that this is a country that is actually well-run, with a well-functioning public health system, they will be more encouraged not just to come to Greece for holidays, but also to come to work in Greece, or spend more time and live in Greece, and buy property in Greece. The whole Silver Economy is offering tremendous opportunities for a rebranded Greece.

Under the government’s proposal, qualifying retirees would pay a flat tax of 7% provided they move their tax base to Greece and meet certain conditions. The incentives do not apply to Greeks or other nationals who were tax residents in Greece in the last few years. And the incentives will only extend to retirees from countries that have an existing tax treaty with Greece.

According to the Greek legislation (article 20 Law 4251/2014) a third-country national can be granted a residence permit as a financially independent individual provided that the person has sufficient resources, at the level of a stable annual income to cover its living expenses. 

The residence permit has a duration of two (2) years and can be renewed in a two year basis. This residence permit does not provide access to the labor market

Third-country nationals may be accompanied by their family members, who are granted, upon their request, an individual residence permit that expires at the same time as the dependent’s residence permit. The condition of adequate living resources must be met either in the person of each member of the family or cumulatively for all its members. If you are interested to know more about this new initiative and you are a pensioner contact Law Office Stathaki