Greece introduces property use registry with hefty fines for non-compliance

Greece is poised to introduce a new Property Registry (MIDA) in the first week of July, implementing substantial fines for property owners who fail to declare the usage of their real estate. This initiative mirrors the existing penalties for unkempt land plots, signaling a stricter regulatory approach.

All property owners will be obligated to register the specific use of their assets within the MIDA system. This includes declaring all rental agreements, with a heightened focus on leases for agricultural land that are connected to state subsidies provided by the Organization for Centralizations of Payments and Controls of Common Agricultural Policy (OPEKEPE). The tax authority (AAde) will issue a final decision detailing timelines and procedures for these declarations.

Penalties for non-compliance will be significant. A fine of 500 euros will be imposed for failing to submit the declaration within three months of a lease or concession starting, or within two months of the deadline for the Unified Support Application (OPEKEPE). A harsher penalty of 1,000 euros will apply to tenants or concessionaires who provide incorrect information used to obtain subsidies or grants. A smaller fine of 100 euros will be levied for submitting inaccurate data that does not lead to the receipt of state aid.

The new framework also introduces a provision requiring the submission of the E9 property declaration form before the MIDA usage declaration can be made, ensuring the system is updated with accurate property characteristics first. Furthermore, the calculation of the ENFIA property tax will be adjusted to reflect the actual surface area of a building if it is found to be smaller than recorded in the Land Registry, titles, or building permits. A transitional amnesty is also being established for past E9 declarations and ENFIA assessments.