How dividend tax works in Greece
Dividends paid by a Greek company are generally subject to 5% withholding tax. For an individual, the withholding normally exhausts the Greek income-tax liability on that dividend category, although residence, treaty, reporting and source details still matter.
The company pays corporate income tax before distributing profits. A simple fully distributed EUR 100 of pre-tax profit produces EUR 22 of company tax and EUR 3.90 of dividend tax on the remaining EUR 78, for a combined burden of EUR 25.90 before other adjustments.
Qualifying intra-group dividends received by a Greek tax-resident company can benefit from withholding and income-tax exemptions. The Enterprise Greece guide identifies conditions such as at least 10% participation held for at least 24 months, together with EU and anti-abuse requirements.
Greek-source interest is generally subject to 15% withholding and royalties to 20%. Interest on Greek government bonds and treasury bills can be exempt for individuals, while qualifying listed corporate-bond interest can use a 5% rate for Greek-resident individuals.
Payments to non-resident shareholders need a treaty and beneficial-ownership review. The domestic 5% rate may be reduced or eliminated by a tax treaty, the EU Parent-Subsidiary Directive or another statutory exemption when the conditions and paperwork are met.
Tax rates at a glance
- Individual dividend tax
- 5%Standard rate
- Dividend withholding
- 5%
- Standard corporate tax before distribution
- 22%
- Simple combined company and dividend burden
- 25.9%
- Interest withholding
- 15%
- Royalties withholding
- 20%
Who benefits most
These profiles tend to benefit most when the rules match their real residence, payroll and business setup.
ShareholdersFoundersInvestorsHolding companiesCross-border groups
Watch out for
- The 5% Greek dividend withholding is not the same as the founder’s all-in rate. Company tax is paid before the dividend, and payroll, social security, VAT and other company costs remain separate.
- A Greek-resident individual normally has final withholding on the dividend category, but a company shareholder usually needs a corporate-tax and participation-exemption analysis instead.
- The intra-group exemption is conditional. Participation percentage, holding period, EU or non-EU status, anti-abuse rules and beneficial ownership all need to be documented.
- Treaty relief is not automatic. The recipient may need a valid residence certificate and the payer may need to follow specific withholding procedures before applying a reduced rate.
- Dividends are only one extraction route. Salary, director remuneration, shareholder loans and hidden distributions can create different tax and social-security consequences.
Frequently asked questions
How are dividends taxed in Greece?
Dividends are generally subject to 5% withholding tax. For resident individuals, that withholding normally exhausts the Greek income-tax liability on the dividend category.
Does Greece have dividend withholding tax?
Yes. The standard domestic dividend withholding rate is 5%, although a treaty, the EU Parent-Subsidiary Directive or another exemption can reduce or eliminate tax for a qualifying cross-border payment.
What is the combined company and dividend tax in Greece?
Using the standard 22% corporate tax and distributing all remaining profit to an individual at 5%, the simple combined burden is 25.9% before other taxes, deductions and special regimes.
Are dividends received by a Greek company tax-free?
Not automatically. Qualifying intra-group dividends can be exempt when participation, holding-period, EU or statutory and anti-abuse conditions are satisfied.