SURPLUS VALUE WILL BE COUNTED BY THE TAX OFFICE

According to the conclusion reached by the leadership of the Ministry of Finance concerning the assessment and collection of surplus value, the Tax Office will calculate the amount of tax and, afterwards, notaries will receive it and deliver it to the State. Before signing the contract, owners have to visit the tax office, which will calculate the surplus value tax and issue the Debt Identity. Then, after the contracts are signed, the tax will be withheld by the competent notary and deliver it to the State. This decision will solve the problems now faced by the imposition of surplus value tax, as the initial plan was that the notaries were responsible to calculate and not only to collect the tax. Thus, the contracts for property purchase were frozen until there was a clear pictures of the necessary procedures.

The Ministry of Finance’s conclusion will soon be published, along with another one that will determine the acquirement price for specific cases, such as quid pro quo compensation (Greek “Antiparochi”), built properties and adverse possession.

Additionally there is a new measure that it is prohibited the donation and transfer of property with parental benefit to the taxpayers who have overdue debts. Due to the absence of a price in the case of parental benefit and, in order to provide the tax clearance certificate to the owner so to realize the transfer, the taxpayer with overdue debts is obliged to mortgage the same or another property that he owns. In addition, the new rules applicable from January 1st 2014 say that anybody who has not submitted one of the required income statement during the last five year will not have the right to parental benefit of donation of his properties.