Accommodation Tax Amendment (30/3/18)

With him recently passed Law 4514/2018 Article 53 of Law 4389/2016 was amended regarding the Accommodation Tax which is imposed from 1.1.2018.

Find here the updated ones Tax Management Instructions for all versions of PMS protel and ermis.

As is already known, the Accommodation Tax is borne by the resident visitor who used the room or apartment and is imposed after his stay in the accommodation and before his departure from it.

The new tax continues, even after the amendment, to concern main hotel accommodations and rented furnished rooms/apartments available as overnight accommodations and to be fixed per overnight stay and depending on the accommodation category.

The accommodation will not be subject to tax in…

• Organized tourist camps (camping)
• Youth hostels
• Complex tourist accommodations
• Condo hotels
• Hotel tourist accommodations within traditional buildings
• Self-catering accommodation – furnished tourist villas
• Self-catering accommodation – furnished tourist homes

Statement

The business to which the hotel or apartment belongs is obliged to collect and remit the Accommodation Tax, which is paid by the liable businesses to the tax administration with monthly declarations submitted by the last day of the month following that of the issuance of the special receipt for the collection of the accommodation tax.

The type and content of residence tax declaration as well as the form are defined in POL.1015/2018.

In this declaration, liable businesses must register the total amount of the accommodation tax that they included in the "special data - receipts for the collection of accommodation tax" which they issued during the month preceding the submission of the declaration.

Sanctions

> imposition of sanctions In the event of late, inaccurate or non-submission of the residence tax return, as well as in general the procedure for the certification and collection of this tax, are governed by the relevant provisions of the Tax Procedure Code (Law 4174/2013), as in force.

In the case of free provision of accommodation services, the tax is not imposed.

In cases where the stay time is extended for certain hours (late check-out), this additional stay does not constitute a half-board service – which is normally taxed – and therefore is not subject to accommodation tax.

However, if the extended stay is such that it ultimately entails the charging of another daily use of the room, it is understood that this is subject to a residence tax.

Regardless of the policy applied by the obligated tourist businesses in the event of cancellation of all or part of a planned stay (e.g. compensation by the customer), Accommodation tax is due only if arrival (check-in) at the tourist accommodation has taken place. and for the days from arrival to departure (check out) from it.

Special item “Proof of Residence Tax Collection”

The tax will be collected by separate special item version (receipt of residence tax collection) to residents. The amount to be indicated in the special item – receipt of residence tax collection will not be subject to Value Added Tax (VAT)This special item is issued upon completion of the accommodation service, i.e. at the end of the scheduled stay and before the visitor's departure from the unit.

The special item "proof of residence tax collection" includes at least the following:

• date of issue
• brand name
• address and tax number of the issuing company
• name and surname of the resident to whom it is issued
• dates of stay
• total amount of accommodation tax
• number and date of the sales document (receipt, invoice) issued for the specific service provision.

More than one resident

In case of multiple occupants in the same room or apartment, the special item is issued to one of them.

The special item may also be issued collectively, when the accommodation tax concerns the use of more than one room or apartment and the sales document (receipt, invoice) for the specific provision of services is issued for all rooms or apartments to one of the residents or to a third party.

Travel agents

In the case where the direct contracting party with the tourist accommodation is a travel agent or tourist office, domestic or foreign (third party) and provided that the latter includes the accommodation tax in the package price offered to its customers (residents) and pays it to the liable tourist accommodation, the special item may be issued either to one of the residents in each room, or collectively to one of the residents for all the rooms of the same group of residents (family, etc.), or also collectively to one of the residents for all the rooms used by the residents concerned by the package. In these cases, the collective or individual special item issued is of an informative nature and the accommodation tax is indicated in the special item with the indication "THIRD-PARTY PAYMENT" and is not repaid by the resident or residents.

From a VAT perspective, it is noted that in this case The accommodation tax is not included in the cost of the package for the purposes of determining the taxable value of the travel package., in accordance with the provisions of the special regime for travel agencies of article 43 of the VAT Code (Law 2859/2000), as in force.

Since the Accommodation Tax is not included in the price of the package that the travel agent or travel agency offers to its customers (residents), then the tax is paid, in accordance with the above, by the residents, upon completion of the accommodation services and before their departure.

Seasonal operation

In cases where there is no accommodation at all, i.e. it is essentially a periods of zero activity of the accommodation, there is no obligation to submit a zero return.

Without prejudice to new clarifications from the A.A.D.E., if, for example, an accommodation remained closed in January 2018 and had no transactions, then for that month there is no obligation to submit a zero accommodation tax return.

New clarifications are expected soon.

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