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By recent law 4799/2021, new favorable tax provisions have been introduced for almost all taxpayers. In specific:

Reduction of Corporate Income Tax and of advance tax payment

For the tax year 2021 onwards, the corporate income tax rate of legal persons and legal entities is reduced from 24% to 22%.

The advance tax payment of the above legal entities is also reduced from 100% to 80%. The said reduction applies for advance tax payment assessed with the income tax return of the tax year 2021 onwards.  However, especially for the tax year 2020, advance income tax payment is further reduced to 70%.

For the tax year 2020 onwards, the advance tax payment is also reduced for income derived from individuals’ business activity, from 100% to 55%.


Special solidarity contribution exemption

The exemption from the Special Solidarity Contribution (of article 43A of the Income Tax Code) is extended for the years 2021 and 2022.

In particular, for the tax year 2021, all individuals’ income is exempted from special solidarity contribution (employment income from the private sector, income from rentals, capital income, income frοm the sale of capital assets, etc.), except for the employment income from the public sector and pensions.

The exemption of special solidarity contribution is extended also for tax year 2022, but only for employment income from the private sector.

However, if the income of tax year 2021 is determined according to the alternative method for calculating minimum taxation (i.e. deemed expenses), the exemption of the special solidarity contribution is granted if for the previous two tax years the alternative method of the deemed income has not been applied.


Pharmaceutical companies

The benefit obtained by a pharmaceutical company from the set off clawback against R&D and Investment Plans expenses, based on the provisions of art. 11 (ζ’) L. 4052/2012, will be allocated equally within a five-years period, to be taxed as income from business activity, commencing as from the tax year in which the benefit arises.


Download the Tax-i in pdf file here.