Properties with “slashed” prices starting from 8,000 euros are being auctioned by the tax authorities to collect whatever they can from the seized assets of debtors. The new auctions conducted by the Independent Authority for Public Revenue (AADE) include residences, apartments, industrial buildings, plots, and parking spaces, with starting bid prices ranging from 8,000 euros to 5.5 million euros.
These are assets of debtors who did not settle their debts with the tax office, resulting in their properties being seized. These properties are now being put up for e-auctions, and the announcements will intensify in the coming months in an effort to prompt taxpayers to settle their outstanding accounts.
The tax administration’s program includes 20 auctions, among which are:
- A 29,280 square meter plot with a 2,250 sq.m. furniture production unit and 175 sq.m. of offices located in the rural area of Diavata. The starting bid is 2.29 million euros. The auction will take place on October 23.
- A plot with an industrial facility on 25.4 acres in the Viotia region. The starting bid is 5.6 million euros. The auction is scheduled for October 23.
- A 1.2-acre plot in Kastrí with a 374.20 sq.m. house. The starting bid is 1.43 million euros. The auction is scheduled for October 23.
- On October 23, a maisonette in Nea Erithraia of 800 sq.m. will also be auctioned. The starting bid is 780,000 euros.
Legal Provisions
According to current legislation, for the collection of overdue debts exceeding 500 euros that have not been settled, the head of the competent tax office may take compulsory collection measures such as the seizure of movable assets (either in the hands of the debtor or movable assets and claims, generally, of the debtor in the hands of third parties) or the seizure of real estate.
Before taking compulsory enforcement measures, the tax administration is required to serve a personal notice of debt/delinquency, except for the seizure of monetary claims in the hands of the taxpayer or third party.
From the day the debtor receives a copy of the seizure report, they lose the right to freely dispose of the property. If they have not included their debts in a settlement program, an auction date is set after forty days and no later than four months from the seizure date, with the auction to occur within five months from the program issuance date.
According to current regulations, a seizure report does not necessarily lead to an auction, and the tax office head must issue an auction program if the debtor has not included their debts in a settlement program after forty days have passed. The auction date is set no later than four months after the seizure and the auction is to be conducted no later than five months from the program issuance date. If the auction is not conducted on the scheduled date, a new program is issued within a year from the date the auction did not take place or was suspended, setting a new date accordingly.
However, there is the possibility of suspending the execution of the issued auction program by including the debtor in a debt settlement program, according to the current legislative regulations or by obtaining a court decision suspending it.
