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8.2.1. Corporate/Profit Taxes

In general, the Greek branch or PE of a non-resident is subject to tax in much the same way and at the same rate as a resident company. Non-residents without a branch or PE in Greece are only subject to <a onclick="scrollToId('594')">withholding tax</a> on specified Greek-source income only. Non-residents deriving income from immovable property situated in Greece are allowed deductions for related expenses under Greek tax law whether they have a permanent establishment in Greece or not.

Non-residents may establish headquarters in Greece to provide specified centralized services to their head office or group companies, including consulting, accounting, quality control, data processing and marketing services. The tax base is then determined as the higher of actual revenues or deemed revenues calculated by reference to an agreed mark-up on costs. The mark-up differs by sector and activity but generally may not be lower than 5%.

Branches and offices of non-residents dealing exclusively with the management, exploitation, chartering and other specified activities related to shipping may be exempt from tax (but still pay a government fee) subject to conditions, including the deposit of a bank guarantee and the import of funds from abroad (with a minimum of USD 50,000 annually) to cover their expenses in Greece. The following table shows the effective corporate tax rates in the local country for the current year, past years and future years.