Greece Tax Agency Issues Circular on Taxation of Reserves from Lease-Back Transactions

The Greek Independent Authority for Public Revenue Dec. 31, 2019 issued a circular on the taxation of reserves from the sale and lease-back of contracts concluded before Jan. 1, 2014. The circular clarified that: 1) goodwill resulting from the sale of real estate business to a leasing company is tax exempt, provided that the amount of goodwill is transferred and appears in a separate account; and 2) goodwill is subject to tax if the lease agreement is terminated. [Greece, Independent Authority for Public Revenue, 12/31/19]

Reference:
View Circular E. 2002 of 12/31/19. View Announcement.