The 20 “keys” to real estate transfers in 15 minutes

From June 1, 2021, all purchases and sales will be made electronically

The upheavals in the map of the objective values ​​of real estate prepared by the Ministry of Finance have mobilized taxpayers who plan to proceed either with the parental provision or donation of real estate to their children or grandchildren or the acquisition of a first home.

More than 5,000 real estate transfer cases are pending today at the Tax Offices, while since the beginning of March, when the electronic platform for digital transfers was launched, about 700 real estate transactions have been completed.

The new fair values ​​are expected to be activated in 2022 both for the calculation of ENFIA and the taxes imposed on real estate transfers. This means that taxpayers have until the end of the year to proceed with purchases, parental benefits and property donations in order to avoid the burdens that the new fair values ​​will bring.

In areas where zone prices will go uphill real estate transfers will cost more. Even in the case of buying a first home or a parental benefit that is tax-free, the increase in fair values ​​will “inflate” the notarial and transfer costs borne by taxpayers.

Online real estate sales

The purchase and sale of real estate is now done through the new electronic platform myProperty, without visits to the Tax Office, without hassle and bureaucracy. Until May 31, the new system will be optional, while from June 1, 2021 onwards, all property transfer tax returns will be submitted electronically. By the end of the year, the remaining capital tax returns (parental benefits and donations) will be submitted electronically.

The 20 “keys”

Taxpayers planning to make purchases, sales, parental benefits or property donations should be aware of the following:

  1. Obligation to electronically submit a Property Transfer Tax (PTT) return has every natural or legal person who is going to buy and sell real estate / s within an objective system.
  2. The declaration of tax on real estate transfer with a burdensome reason must be completed by a notary and is submitted exclusively with his passwords (user name & password) and not with the codes of the parties.
  3. Competent Tax Office for the submission of the declaration is the Tax Office of income of the buyer.
  4. The initial property transfer tax returns are submitted electronically within an objective system.
  5. One or more sellers of each property and one buyer are involved in each declaration.
  6. The completion of National Cadastral Code Number (NCCN) is mandatory, if the property is located in an area that has been cadastralized and has a temporary or permanent NCCN. The statement will proceed without completing the field.
  7. The application supports many properties initially within an objective system and throughout the territory.
  8. Because separate declarations are submitted by each buyer for which a contract is to be drawn up, the taxable value is the addition of the proportional price to each declaration.
  9. Because separate declarations are submitted by each buyer for which a contract is to be drawn up, the taxable value is the completion of the proportional price in each declaration which affects the exemption of the First House.
  10. In the case of independent horizontal properties not grouped, a separate price is declared for each horizontal property. For the imposition of the tax, each real estate / independent property is examined independently and a tax is imposed on the largest amount between price and fair value.
  11. In the field “Property description” a short description of the property is filled. Indicative: type, address, number / name of the apartment, floor, building permit, settlement, properties with single functional unit (maisonette), in a residential complex with communal pool, existence of a building with demolition permit or without roof, installation of photovoltaic, with drilling installation, with water tank, etc. The declaration will not proceed without filling in the field, since the above will be the description that will be displayed / printed on it.
  12. Any seller or seller’s representative and any buyer or buyer’s representative can enter the application as long as he is a certified user using the passwords (user name & password) by selecting from the menu “Citizens – myPROPERTY – Property Transfer Tax » of the TAXISnet information system.
  13. Upon submission of the declaration by the notary to the parties, the parties may:

– To check the correctness of the PTT tax return

– To accept / submit the PTT return

– To reject / not to submit the declaration

– To print the PTT return after its submission

  1. Modifying PTT returns will initially be submitted in manuscript to the competent Tax Office where the initial PTT return was submitted.
  2. The declaration is not corrected by the parties (SELLER / BUYER). If they reject / do not submit the declaration, the declaration will be returned to the notary for correction.
  3. The buyer who will have to pay the transfer tax will receive a message in the personalized information for which PTT return was submitted, what amount and the due date. Payment may be made upon acceptance by the latter party.
  4. The property transfer tax after submitting a declaration for drawing up a contract is paid in a lump sum and without deduction.
  5. The PTT is paid as follows: after the last approval / submission of the declaration, a debt ID is issued by the application and within 3 working days the payment of the PTT is paid through the Bank with the accepted methods of payment of confirmed debts to the Tax Administration (web banking, debit cards or from the personalized information of TAXISnet with debit card or prepaid card) and not by using a credit card on the page “Debt details and payment”.
  6. If any amount of tax is not paid within the legal payment deadline, the taxpayer is obliged to pay interest on the tax amount in question for the period from the day following the expiration of the legal deadline.
  7. After the acceptance / submission of the declaration by the parties, the notary will draw up the relevant contract in accordance with the law if the real estate transfer tax has been paid and a tax receipt has been issued. The notary is obliged within fifteen (15) working days from the drafting of the contract, to inform the tax administration about the number and date of drawing up the notarial document and about the method of payment of the price and to attach a copy to the application. After the registration of the contract, the statement is transferred to the completed statements.