Do I pay taxes in Greece with a digital nomad visa?
AI Answer
Yes, if you establish tax residency in Greece, you will pay taxes. However, as a Digital Nomad Visa holder, you can benefit from a significant tax break.
To qualify for the tax exemption, you must move your tax residency to Greece and not have been a tax resident in Greece for the previous five out of six years. You also need to transfer your tax residency from an EU or EEA member state, or a country that has a tax cooperation agreement with Greece.
Under this special regime, you pay taxes on only 50% of your Greek-sourced income for seven years. This means if you earn €50,000, you're only taxed on €25,000. Greece's income tax rates range from 9% to 44%, so this exemption can save you a lot. For example, on that €50,000 income, your tax bill would be roughly €3,500 instead of €10,000 without the exemption.
This makes Greece an attractive option for digital nomads, especially when combined with its relatively low cost of living and high quality of life (Greece scores 7.5/10 for quality of life on Net Life Value). Make sure to consult with a local tax advisor to ensure you meet all the specific conditions.