Electronic transactions: Who risks an additional 22% tax

The verification is simple and can be done directly through bank accounts, where all movements are recorded. If the required amount has not been reached, taxpayers have a three-month window to cover the shortfall. Otherwise, when the tax return is filed, an additional tax of 22% will be imposed on the missing amount.

Example: A taxpayer with an annual income of €20,000 must make electronic purchases worth €6,000. If only €5,000 has been spent electronically, the €1,000 shortfall will be taxed with €220, payable in 2026.

Last year, many taxpayers failed to meet the threshold, resulting in an extra €55.5 million collected by the tax authority.

The legislation also includes special provisions:

• Eligible expenses include services from specific professions such as plumbers, electricians, heating technicians, hairdressers, beauty salons, and dance schools.
• Medical expenses (doctor and dentist visits) count double toward the 30% requirement.
• Alimony payments are excluded, provided they are made electronically.
• Income arising from imputed living expenses is not counted.
• For individuals with seized bank accounts (except for protected ones), the electronic receipts threshold is limited to €5,000. Additionally, if payments for taxes, ENFIA, loans, or rent exceed 60% of income and are made electronically, the required percentage is reduced to 20%.

Source: dnews.gr