ENFIA: Soldiering on with property tax amid confusion

A guide to tax exemptions, reductions and increases and what to watch out for when dealing with the single property ownership tax (ENFIA)

Finance Minister Gikas Hardouvelis has issued a call for changes to rectify errors of the new single property ownership tax (ENFIA), however the mistakes are so extreme that it is hard for the government to keep up. Regardless of errors, 6 million taxpayers will be required to dig deep into their pockets to pay their ENFIA installments even in cases where they have been overtaxed. Owners of property without electricity or vacant property will also be required to pay the full amount. Any decision for tax alleviations will be decided upon at the end of 2014 or start of 2015.

Over the coming days, ENFIA payments will be posted on Taxisnet. Each spouse will receive separate ENFIA charges. The first installment will need to be paid by September 30 instead of the previous end-of-August deadline.

Who will pay more or less property tax? 

* Less tax paid by owners of one or more apartments with electricity or detached buildings that have exhausted their building coefficient on land.
* More tax will be paid by homeowners of medium-large houses in areas that are not in the town plan. While there is reduced tax on the actual structures, there is higher tax on the unstructured parts of land where the real estate is located as well as land parcels that are exempt from taxes.
* Additional charges for those who have property that is cut from electricity or vacant buildings where the total value of property is less than 200,000 euros.
* Increased taxes for those who own illegal structures that weren’t legalized in 2013 as well as homeowners with semi-open spaces that were “settled” under various laws from 2010 to 2013.

Taxpayers will need to be careful of the covered parking areas of their structured, sheds and swimming pools as well as property still being constructed when paying ENFIA.