Brain drain is being reversed
Over 1,200 workers have returned, while hundreds of retirees and investors have come over
The particularly favorable tax regime that was introduced in 2019 has attracted a significant number of foreign investors who have become tax residents of Greece, as well as foreign retirees and employees. Finance Ministry data show 75 investors have moved to this country for tax purposes, 335 foreign pensioners now live in Greece, while 1,232 individuals have come to work in Greece, thereby reversing the previous decade’s brain drain.
Minister Christos Staikouras stated that “taxation is, in fact, an extremely useful tool for achieving growth and investment goals, in addition to securing public revenues. Greece, moving forward with a plan, vision and confidence, has strongly recovered from the health crisis, is growing and is open to attracting investment and human capital. In this way, we are creating the appropriate conditions for the creation of many good new jobs, for the provision of opportunities to the Greeks, the young men and women, who are in our homeland or will return here.”
Based on the latest data, there are 1,689 applications from individuals wishing to work in Greece, of which 1,232 have been approved. These are mainly Greeks who left the country during the years of the financial crisis and are now returning for a new job and a very low tax rate.
In the 30 months of implementation of the regulation for tax incentives aimed at attracting new tax residents from abroad, investors have already sent total revenues of 9.4 million euros into the public coffers, with the final approval of applications from 75 investors and 23 relatives from 21 countries for the fiscal years 2020 and 2021 while another 27 applications are pending as interest in the new provisions (including a 50% tax cut) is growing.
As far as foreign retirees are concerned, 335 applications from at least 21 countries have been approved since 2020 and another 85 are being processed. Under the law, retirees pay a tax calculated at a rate of 7% on the total income earned abroad each tax year.
