SERVICES
Short-Term Property Rentals - AirBNB
Short-Term Property Rental
According to Law 4446/16, property managers who earn income from short-term rentals must declare these properties from which they collect the specific income to the Short-Term Property Rental Register and submit a Short-Term Property Rental declaration per tenant.
With the new Law 5073/2023, there are some modifications regarding the taxation as a natural person or the obligation to start a business activity.
Natural persons, legal entities, or legal entities that are property managers and earn income from short-term rentals.
A Short-Term Property Manager is defined as a Natural or Legal Person who undertakes the process of listing the property on digital platforms for the purpose of short-term rental and generally takes care of the short-term rental of the property.
Property managers can be taxed as natural persons, with this income being taxed based on the property tax scale, in case they manage up to two (2) properties, provided that no other service is provided other than providing bed linen.
In the case of managing three or more properties, the property manager is required to start a business activity, with the income being taxed as income from business activity, which is also subject to VAT.
The Endurance Tax is defined for natural persons as well as for those who own more than 3 (three) properties and are obligated to commence a business activity.
The Endurance Tax for climate crisis endurance during the period from March to October will be €1.50 per overnight stay. In the case of a property being a detached house exceeding 80 sq.m., the daily amount of the endurance tax will be €10, while for other months it will be €0.50 and €4, respectively.
Additionally, this income, if derived from business activity, will be subject to a Nomads Tax (equivalent to 0.5% of the business turnover).
The property manager who will generate income from short-term leasing can be the owner of the property, the tenant, the sub-lessee, the sublessor, or a third party.
An limit of 60 days is set for the duration of the lease in order to be considered short-term. It is clarified that the limit of 60 days does not concern the duration of leases within the year, but the duration of each lease separately. Thus, for example, it will be allowed to rent a property for 100 or 150 days within the year, provided that each lease separately does not exceed 60 days.
The apartment, detached houses, any other form of dwelling with structural and functional autonomy, rooms within apartments or detached houses.
What is the process that needs to be followed?
- The property manager must be registered in the Short-Term Residence Property Register at the Independent Authority for Public Revenue (AADE).
- The registration number from the Short-Term Residence Property Register must be visible prominently on digital platforms and any advertising medium .
- In cases where property managers possess a Special Operation Badge (SOB), they are not obliged to register in the Short-Term Residence Property Register. However, they are required to display the Special Operation Badge number prominently on digital platforms and any advertising medium.
- Registration in the Short-Term Residence Property Register is done per leased property.
- The owner of the property, trustee, beneficiary, or third party, if delegated to manage the property for short-term lease, is obliged to submit a Declaration of rental property details, where they will register the details of the property manager.
AirBNB for Legal Entities
Are you sure you shouldn't establish a company?
How confident are you that your income from property exploitation through Short-Term Leasing, as Natural Persons, has the best taxation?
How confident are you that if you actually engage in Short-Term Leasing, not only of your own properties but others as well, you will have the best Tax Result?
With us, you will get the answers you need.
With us, you will feel secure to achieve the best possible outcome.
AirBNB for Natural Persons
If the platform process seems challenging to you,
If deadlines stress you out,
If you have more than one property and need information for each property,
If you don't want to lose money on fines and always have the lowest possible tax.
CompuTax offers a service tailored to your needs.
FAQs
The declaration of a short-term rental can be submitted until the 20th of the following month from the tenant's departure date.
In case of a late declaration of a short-term rental, an administrative fine of €100 will be imposed.
In case of non-submission or submission of an inaccurate declaration, a fine equal to double the rent, as it appears on the digital platform on the day of inspection, will be imposed.
In case additional services are provided besides providing bed linen, then this income will be taxed according to the scale of business activity.
Υears of experience
Effective Associates
Clients – Businesses
Clients Natural Entities
Contact us.
At Computax you are safe