Greece has fully implemented the OECD’s Base Erosion and Profit Shifting (BEPS) Action 13 recommendations, including Country-by-Country Reporting (CbCR). As a member of the OECD Inclusive Framework and the European Union, Greece has aligned its domestic tax laws with international standards to enhance tax transparency and counter tax avoidance by multinational groups.

This guide provides a detailed overview of Greece’s CbCR obligations, including filing thresholds, deadlines, penalties, and useful resources for multinational groups operating in or through Greece.

Legal and Regulatory Framework

• Implementing Authority:
  Independent Authority for Public Revenue (IAPR)
• Primary Legal Basis:
  • Law 4484/2017: Incorporates OECD BEPS Action 13 into Greek law
  • Ministerial Decision POL 1184/2017: Provides guidance on submission and exchange of CbC reports
  • Law 5066/2023: Implements the EU Public CbCR Directive
• OECD Participation:
  • Member of the OECD Inclusive Framework on BEPS
  • Signatory to the Multilateral Competent Authority Agreement (CbC MCAA)
  • Participates in the automatic exchange of CbC reports with over 70 jurisdictions

Who is Required to File?

Ultimate Parent Entity (UPE) in Greece

• Required to submit a CbC Report if:
  • The group’s consolidated annual revenue exceeds EUR 750 million in the preceding fiscal year.

Constituent Entities in Greece

• Required to file a notification to the IAPR, stating:
  • Whether they are the reporting entity;
  • The identity and jurisdiction of the reporting entity.
• Secondary filing obligations may arise if:
  • The UPE is not in a jurisdiction with CbCR requirements;
  • No exchange agreement exists with Greece;
  • A systemic failure in exchange occurs.

CbCR Notification Requirements

• Deadline:
  Must be submitted no later than the end of the fiscal year for which the report applies.
• How to File:
  Through the IAPR’s online CbCR portal.

CbC Report Filing Requirements

• Deadline:
  Within 12 months after the last day of the fiscal year to which the report relates.
• Submission Format:
  OECD-prescribed XML schema, uploaded via the IAPR’s electronic system.
• Content Requirements (per OECD standards):
  • Revenues (related/unrelated parties)
  • Profit/loss before tax
  • Income tax paid and accrued
  • Number of employees
  • Stated capital
  • Retained earnings
  • Tangible assets (excluding cash)
  • Entity list and business activities

Penalties for Non-Compliance

• Failure to submit the CbC Report:
  Administrative fine of €20,000
• Late or inaccurate submission:
  Penalty of €10,000
• Failure to notify:
  May result in penalties ranging from €500 to €10,000, depending on the nature of the non-compliance.
• Public CbCR Non-Compliance:
  Under Law 5066/2023, penalties for noncompliance with public CbCR requirements can range from €10,000 to €100,000.

Transfer Pricing Documentation

In addition to the CbCR, Greece requires:

• Master File and Local File documentation
• Thresholds:
  • For businesses with turnover up to €5 million: Documentation required if controlled transactions exceed €100,000 per year.
  • For businesses with turnover above €5 million: Documentation required if controlled transactions exceed €200,000 per year.
• Must be prepared annually, and provided upon request by the IAPR within 30 days.

Language and Format

• Documentation and reports must be submitted in Greek.
• However, the Master File can be maintained in English, but must be translated into Greek if requested by the tax authority within 30 days.

Public Country-by-Country Reporting (Public CbCR)

• Effective Date:
  The first financial year of reporting will be the year starting on or after 22 June 2024.
• Scope:
  Applies to MNEs with consolidated revenues exceeding €750 million for two consecutive years and with an EU (Greece) presence, through headquarters, subsidiaries, or branches.
• Publication Requirements:
  The Public Report must include information such as:
  • Nature of activities
  • Number of employees
  • Total net revenue
  • Profit (loss) before income tax
  • Income tax accrued and paid
  • Accumulated earnings
• Where to Publish:
  The report should be published in the Greek General Electronic Commercial Registry (G.E.MI.) and on the company’s website.
• Deadline:
  Publication should be accomplished within 12 months of the closing date of the financial year for which the Public Report is drawn up and remain publicly accessible indefinitely.

Useful Resources

• Independent Authority for Public Revenue (IAPR):
  https://www.aade.gr
• OECD CbCR Overview:
  https://www.oecd.org/tax/beps/country-by-country-reporting.htm