Greece: Implementation of Capital Gains Tax – update
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Further to our Taxflashes and Announcement1 concerning the planned provisions and implementation of Capital Gains Tax in Greece, we would like to provide a further update on this matter.
On 10 January 2012, a draft bill was submitted to the Greek Parliament for discussion of and voting on, among other things:
- The postponement of Capital Gains Tax implementation until 1 January 2013; and
- The introduction of 0.2% tax on the value of shares lent in OTC stock lending transactions (for which the draft bill provides no implementation date).
Note: Until the implementation of the proposed Capital Gains Tax, the tax on equities sales transactions will continue to apply as currently.
The details of the bill are not yet finalised and may still be subject to change.
Once implemented, Capital Gains Tax will be applicable for Greek residents only. Capital gains will be considered as income and processed through an annual tax return; no deductions will be performed via Clearstream Banking.
We will continue to monitor the Greek market for any new developments and will provide more information as it becomes available.
1. T11040, T11080, T11082, T11086 and A12003, dated 3 January 2012.