Key takeaways
- Reduced VAT rates extended: Greece has prolonged the 13% and 6% VAT rate reductions on various goods and services until December 31, 2023.
- Support for essential items: Personal hygiene products like masks, soap, and antiseptics will continue to benefit from the 6% reduced VAT rate.
- Property VAT suspension: The 24% VAT on new buildings remains suspended until 2024 to boost real estate investment.
In short: For 2023, Greece extended its reduced 13% and 6% VAT rates until December 31, 2023. They cover goods and services such as non-alcoholic drinks, gyms, passenger transport, hygiene products, and cinema tickets. Greece also suspended the 24% VAT on new buildings until 2024 to encourage investment.
Update (October 2026): Greece has since extended the VAT suspension on new buildings until 31 December 2026. The reduced rates have also continued. Non-alcoholic drinks and passenger transport are taxed at 13%. Masks, gloves, soaps, antiseptics and cinema, theatre and concert tickets are taxed at 6%.
Greece has made several changes to its VAT rates for 2023. The aim is to ease the impact of inflation and the economic problems caused by the COVID pandemic and the energy crisis. Here are the main updates to Greek VAT.
Which reduced 13% and 6% Greece VAT rates have been extended?
Greece has extended its reduced 13% and 6% VAT rates until December 31, 2023. The 13% VAT rate reduction applies to:
- Non-alcoholic drinks
- Supplies and imports of works of art
- Dance schools and gyms
- Passenger transport
- Zoo tickets
The reduction to a 6% Greece VAT rate on personal hygiene and protection products is also extended to December 31, 2023. These products include face masks, gloves, soap, antiseptics, and ethyl alcohol. Some services, such as cinema, theatre, and concert tickets, will also stay at 6% until the end of 2023.
Is there Greek VAT on new buildings until 2024?
No, there is no Greek VAT on new buildings until 2024. To encourage investment, the 24% Greece VAT rate normally charged on new properties has been suspended until 2024. This means that anyone buying a new build property in Greece, whether a foreigner or a citizen, will not have to pay VAT on it until 2024.
What does this mean for businesses?
The standard VAT rate in Greece remains 24%. The reduced rates of 13% and 6% apply to the goods and services listed in Greek VAT law, so check which rate covers each product you sell.
- Island rates: certain Aegean islands with up to 20,000 residents have VAT rates 30% lower, such as 17% and 9%. From 1 January 2026 this extends to the North Aegean Region, Samothrace in Evros, and the Dodecanese.
- New buildings: a construction company selling new properties can ask to suspend VAT until 31 December 2026. Property transfer tax applies instead.
The Greek Ministry of Finance lists all current rates in its VAT tax guide. For registration and filing rules, see our VAT guide for Greece.
Which goods and services fall under each Greek VAT rate today?
Greece has a 24% standard rate and reduced rates of 13%, 6% and 4%, according to the Ministry of Finance. Each reduced rate covers a defined list:
- 24%: goods and services not on a reduced-rate list.
- 13%: food, non-alcoholic drinks, water, catering, hotels and transport.
- 6%: medicines, books, electricity and natural gas, and theatre, concert and cinema tickets. Masks, gloves, soaps and antiseptics are also at 6%.
- 4%: services for works that remove architectural barriers for people with disabilities.
- 0%: COVID-19 vaccines approved by the European Commission or EU member states.
On qualifying islands, each rate is 30% lower, giving 17%, 9% and 4% or 3%. Tobacco products and means of transport are excluded. For example, a €100 net sale of standard-rated goods carries €24 VAT on the mainland but €17 on a qualifying island. A €100 net sale of food carries €13 VAT on the mainland and €9 on a qualifying island.
How does the VAT suspension on new buildings work?
A construction company that builds properties for sale can ask to suspend VAT on them until 31 December 2026. Property transfer tax is then due instead of 24% VAT.
- The constructor applies to suspend VAT on its new buildings.
- The application lists the constructor's unsold properties and the tax due on each.
- The suspension then covers all of those unsold properties, not just one.
- While it applies, construction contracts carried out for that constructor are not subject to VAT.
For buyers, this means the price of a qualifying new-build home carries transfer tax rather than VAT. Check with the seller whether the suspension applies before you sign.
Key dates
- 31 December 2023: end date of the 2023 extension of the reduced 13% and 6% rates.
- 1 January 2026: reduced island rates extend to more Aegean regions.
- 31 December 2026: current end date of the VAT suspension on new buildings.
How Taxually handles this
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Frequently asked questions
Which goods and services are included in Greece’s reduced VAT rates for 2023?
The 13% VAT rate continues to apply to non-alcoholic drinks, gyms, dance schools, passenger transport, zoo tickets, and art imports. The 6% rate applies to hygiene products, cinema, theatre, and concert tickets.
Is VAT still charged on new buildings in Greece?
No. The 24% VAT on new property purchases has been suspended until 2024 to encourage real estate investment. Greece has since extended this suspension until 31 December 2026.
What is the standard VAT rate in Greece?
The standard VAT rate in Greece is 24%. Reduced rates of 13% and 6% apply to listed goods and services, such as non-alcoholic drinks at 13% and books and medicines at 6%.
Do Greek islands have lower VAT rates?
Yes. Certain Aegean islands with up to 20,000 residents have VAT rates 30% lower than the mainland, such as 17% instead of 24%. From 1 January 2026 this covers the North Aegean Region, Samothrace and the Dodecanese.
What is the VAT rate on food in Greece?
Food, non-alcoholic drinks and water are taxed at the reduced rate of 13% in Greece. On qualifying islands, the rate is 30% lower, at 9%.
What is the VAT rate on hotels and restaurants in Greece?
Hotels and catering are taxed at 13% in Greece. Transport is also at 13%.
What is the VAT rate on electricity in Greece?
Electricity and natural gas are taxed at the reduced rate of 6% in Greece.
