Greek taxpayers stand to benefit from sweeping reductions in penalties for late VAT filings that do not result in tax liability, under a new multi-bill submitted by the Finance Ministry to Parliament. The reforms introduce cuts of up to 80% in fines, alongside retroactive provisions that could lead to cancellations, revisions, or refunds of already imposed penalties.

Under the new framework, fines issued for such violations from April 19, 2024 onward will be reassessed. Amounts already paid may be written off, offset against other debts, or refunded, provided no outstanding obligations remain. Additionally, penalties of 250 or 500 euros will no longer apply to late withholding tax declarations when the due amount does not exceed 100 euros.

The revised penalty structure sets a standard fine of 100 euros per violation for late or missing tax filings that do not generate a payment obligation. This includes income tax returns, VAT declarations, property statements (E9), and various informational filings. The same 100 euros penalty applies to businesses maintaining either single-entry or double-entry accounting systems when submitting late VAT returns with zero or credit balances.

Higher penalties—250 euros for single-entry books and 500 euros for double-entry—remain in place for late submissions that result in tax due, or for failure to respond to requests from tax authorities.
Importantly, no fines will be imposed in several low-value cases. These include late amended or initial tax returns where the additional tax payable does not exceed 100 euros, as well as certain late filings for indirect taxes and withholding taxes within the same threshold.

The retroactive nature of the changes opens the door for correcting past penalties, offering tangible relief to thousands of taxpayers.