Greece's Tax Code Update: Digital Reporting Frees Certain Businesses from the Burden of Paper Administration

Greece's digitalization initiative is paving the way for a more efficient and transparent tax system, liberating small businesses from the burdens of traditional bookkeeping. Under the so-called reducing bureaucracy with the new Tax Procedure Code initiative, the Press Office of the Ministry of National Economy and Finance announced a press release with certain tax changes to the mentioned Tax Procedure Code.

Particularly, taxpayers who keep books based on the holographic accounting system (mainly traders, entrepreneurs, and small businesses) are exempt from the obligation to submit their accounting records to the tax administration, provided that all relevant data (income and expenses) are transmitted to the myDATA platform. The previous regime provided for a fine of €2,500 for not producing the books.

Furthermore, the deadline for providing the information requested by the AADE from taxpayers has increased from 5 days, as it was previously, to now being 10 days. The so-called "abolition of the obligation to produce books" means that the above-mentioned taxpayers are no longer required to submit their physical accounting records to the tax administration if they transmit all necessary financial data (such as income and expenses) electronically to the myDATA platform. This change aims to simplify the reporting process and move towards digital record-keeping. Additionally, the time frame for taxpayers to provide requested information to the AADE has been extended from 5 to 10 days.