With the Law 4223/31.12.2013 “Taxation of Property”, several amendments took place regarding the Transfer Pricing (TP) Legislation. New provisions are affecting the auditing context of the TP documentation prepared for FYs 2008-2013, and in parallel supplementary provisions for TP are included in income tax code & in tax procedures code.

The major points of the new TP legislation are the following:

  • The TP regulation since 2013 maintained a special option referring to audits of TP folders by the Ministry of Development for documentation referring to FYs 20082011. With the new Law amendments, this authority is abolished, and the Tax Authorities, (1) Are responsible for the T/P documentation files, (2) Further are responsible to conduct all the necessary audits for these cases.
  • With the new provisions it is clear that the Tax Authorities will retroactively request for the compliance with TP regulation starting from the FY 2008, and based on legislative requirements existed in each FY. More, it is expected that the Tax Authorities for the unaudited FYs will use the TP Documentation, as a critical tool, in order to verify the compliance with the arm’s length principle.
  • The companies are needed to submit the TP folder of each FY within one month after the receipt of the special notice issued by the Tax Authorities. In case that the TP documentation will be not delivered to the Tax Authorities, there is a separate penalty of 10% of the amount of controlled transactions, and extra penalties for non-compliance with the tax procedures.
  • The new amendments reform the TP legislation context which is now part of the new Income Tax Code & Tax Procedures Code. This new legislative framework is applicable for transactions took place for the FY started at 01.01.2014. Last but not least, please note that a Ministerial Decision has been issued at 31.12.2013 regulating the procedure of Advance Pricing Agreements with the Greek Tax


THESIS is going to issue, a newsletter within next 4 months dedicated to the new TP legislative framework which will be valid for 2014, expecting that the Greek Ministry of Finance will likely issue new amendments for the transactions of the current FY.

For any further information you might need, please feel free to contact Mr. Panayotis V. Vassilakis (E: [email protected], +