22.10.2026
Best Islands to Retire in Greece
Based on recent data of ours, almost one in three buyers (30.8%), mainly retirees, from abroad are looking for a property in Greece for a permanent residence.
Market Insights
This article looks at how a home in Greece is taxed for someone living in the Netherlands. It answers the two questions Dutch owners ask most: how is my Greek property treated by the Dutch tax authorities, and will I be taxed on it in both Greece and the Netherlands?
The short answer is reassuring. Because of the tax treaty between the two countries, the Greek property is taxed in Greece, and the Netherlands grants relief so you are not taxed on it twice. The detail is below, and because tax rules change every year, we close with where to get advice on your own situation.
How the Netherlands Taxes your Assets
As a Dutch resident, you are taxed on your worldwide income, which includes a property in Greece. Dutch income tax is split into three boxes, and investment assets such as real estate fall under Box 3. Box 3 works differently from income tax on a salary. Instead of taxing your actual income, it applies a deemed, or assumed, return to the value of your net assets above a tax-free threshold, and taxes that. For 2026, the figures are set as follows. The deemed return on "other assets," the category that includes property, is 6.00%, and the Box 3 tax rate on that return is 36%. The tax-free threshold is around €57,000 per person, roughly double for fiscal partners. These amounts are set each year, so it is worth checking the current figures at the time you file.
A System in Transition
Box 3 has been under legal challenge for years, because applying a fixed return rather than your real income can overtax people whose actual return is lower. Following rulings by the Dutch Supreme Court, there is now a counter-evidence route: if your actual return is lower than the deemed return, you can ask to be taxed on the lower, actual figure. The Netherlands also plans to move to a system based on real returns, where actual rental income is taxed, and expenses are deductible, with capital gains taxed on sale. This new system has been postponed more than once and is now expected around 2028. Until then, the deemed-return system above continues to apply.
How the Treaty Protects You
This is the part that matters most for a Greek holiday home. Under the double tax treaty between the Netherlands and Greece, income from real estate is taxed in the country where the property is located, so Greece. You still report the Greek property in your Dutch tax return, but you then claim double-tax relief for it. In practice, this means a Dutch resident with a second home in Greece is, in principle, not liable for Dutch income tax on that property. You declare it, and you receive relief.
How a Greek Property is Taxed in Greece
Rental Income
If you do not rent out your home in Greece, this part does not apply to you, although note that the annual Greek property tax, ENFIA, is payable by all owners whether they let the property or not. If you do let it, you pay tax in Greece on the rental income. For individuals, the tax is progressive, charged on the gross rental income, and calculated per owner. The 2026 scale is:
Up to €12,000: 15%
€12,001 to €24,000: 25%
€24,001 to €36,000: 35%
€36,001 and above: 45%
Some deductions can apply, particularly for long-term lets, so the taxable amount is not always the full gross figure. A tax professional can confirm what applies in your case.
The Benefit of Co-Ownership
Because the scale is applied per owner, it generally pays for couples to buy in both names rather than one. Splitting the rental income across two owners means more of it is taxed in the lower bands.
In Summary
A home in Greece is taxed in Greece, and the Netherlands gives relief under the treaty, so you should not face Dutch income tax on the property itself. If you let it out, the Greek rental tax above applies, eased a little by buying in joint names. The Dutch Box 3 rules around it change most years and are mid-reform, so treat the figures here as the 2026 position rather than a permanent one.
Where to Get Advice
Tax depends heavily on your personal circumstances, and the rules on both sides shift from year to year. For questions about the Dutch tax treatment of a home in Greece, we recommend speaking with Taxand Nederland. For the Greek side of your purchase, our own legal team is glad to help.
Disclaimer: This article is for general information only. Tax rules in the Netherlands and Greece change regularly, and individual situations vary. We recommend consulting a qualified tax professional before making any decisions.
