Business Lawyers Greece 2026: Company Formation, Corporate Tax, FDI & Compliance

Greece’s 2025–2026 legislative package has rewritten the rulebook for foreign investors: a 22% corporate income tax rate applies to resident companies, mandatory myDATA e‑invoicing is rolling out in phased stages, a new FDI screening regime under Law 5202/2025 and Joint Ministerial Decision 64260/2025 now requires pre‑closing notification for sensitive-sector acquisitions, and Law 5275/2026 has overhauled work and residence permit procedures. For general counsel, CFOs and founders evaluating Greece as a destination for incorporation, acquisition or expansion, understanding how these changes interact is no longer optional, it is the baseline for any credible business plan.

This guide, written for business lawyers Greece practitioners and their international clients, delivers the entity‑choice frameworks, tax calendars, FDI filing checklists and compliance workflows needed to act with confidence in 2026.

Quick takeaways for GCs and CFOs:

• Entity of choice for most foreign investors: the IKE (Private Company), no mandatory minimum capital, incorporable online in as few as three business days.
• Corporate tax rate: 22% standard CIT for resident companies (excluding credit institutions).
• E‑invoicing: myDATA mandatory e‑invoicing is being phased in during 2026, with large enterprises first; penalties apply for non‑compliance.
• FDI screening: non‑EU investors acquiring control in sensitive sectors must file with the Interministerial Committee before closing.
• Immigration: Law 5275/2026 introduces unified work/residence permits and streamlined employer‑sponsorship processes.
• Ongoing compliance: UBO registry filings, annual financial statement submissions and real‑time myDATA reporting are mandatory.

Entity Choice for Business Lawyers Greece Clients, IKE vs EPE vs AE

Selecting the right corporate vehicle is the single most consequential early decision for any foreign investor entering Greece, affecting capital requirements, governance flexibility, liability exposure and long‑term exit options.

IKE, the Private Company (Idiotiki Kefalaiouchiki Etaireia)

The IKE has become the default vehicle for startups, SMEs and smaller foreign‑owned subsidiaries. It can be formed with a nominal share capital, there is no mandatory statutory minimum, and the incorporation process can be completed electronically through the one‑stop‑shop service of the General Commercial Registry (GEMI). A single director is sufficient, and that director does not need to be a Greek tax resident, making the IKE particularly attractive for lean market‑entry structures. Share transfers are straightforward, requiring a simple amendment to the articles filed with GEMI rather than notarial formalities.

The trade‑offs are limited. The IKE cannot list on a stock exchange and may be perceived as less established by institutional counterparties. UBO (Ultimate Beneficial Owner) reporting obligations apply in the same way as for any Greek entity, and AML due‑diligence requirements must be met at incorporation.

EPE, the Limited Liability Company (Etaireia Periorismenis Efthinis)

The EPE is the traditional Greek LLC. It requires a minimum share capital, typically €4,500 as a statutory floor, and formation involves more formalities, including notarial execution of the articles. Governance is managed by one or more appointed managers, and share transfers generally require amendment of the articles plus notarial involvement, which adds both time and cost.

The EPE remains a sensible choice for joint ventures where the partners want a more rigid governance structure, or for industries where a higher capitalisation signals credibility to regulators or contractual counterparties. However, for pure speed and flexibility, the IKE has largely overtaken the EPE in foreign investor preference.

AE, the Société Anonyme (Anonymi Etaireia)

The AE is the only Greek entity eligible for listing on the Athens Exchange and is the standard structure for large‑scale projects, institutional fundraising and public procurement participation. It requires a minimum share capital of €25,000, a board of directors with at least three members, and formal general meeting procedures. The regulatory and reporting burden is considerably heavier, but for investors planning significant capital deployment, or eventual IPO, the AE provides the governance architecture that institutional investors and lenders expect.

IKE vs EPE vs AE, Comparison Table

Industry observers expect the IKE to continue gaining share among foreign incorporators in 2026, driven by its zero‑capital threshold and fully digital formation pathway. For investors uncertain about which vehicle fits their commercial objectives, early engagement with business lawyers Greece practitioners is strongly recommended before committing to articles of association.

Company Formation Greece, Steps, Timelines and Costs

Registering a company in Greece in 2026 follows a well‑defined sequence, though timelines vary depending on entity type, complexity of the shareholding structure and whether a notary is required.

1. Pre‑incorporation checks. Confirm entity type, draft articles of association, verify proposed company name availability through the GEMI portal and obtain Greek tax identification numbers (AFM) for all founders.
2. Notarisation (if required). For EPE and AE entities, execute the articles before a Greek notary. IKE articles can be filed electronically without a notary if the model articles template is used.
3. GEMI registration. File the articles, founders’ identification documents and UBO declaration with the General Commercial Registry. The one‑stop‑shop service handles company registration, tax registration (VAT number issuance) and social security registration simultaneously.
4. Bank account opening. Open a corporate bank account and deposit any required share capital. Greek banks typically require in‑person identification of at least one signatory, though some accept power‑of‑attorney arrangements for foreign founders.
5. UBO filing. Submit the Ultimate Beneficial Owner declaration to the Central UBO Registry maintained by the General Secretariat for Information Systems of Public Administration.
6. Payroll and social insurance set‑up. Register with the e‑EFKA unified social insurance fund and configure payroll withholding obligations.

Estimated costs (IKE formation):

• GEMI filing fees: approximately €70–€100.
• Notary fees (EPE/AE only): €400–€1,200 depending on capital and complexity.
• Legal fees (articles drafting, formation support): €1,500–€4,000 for a standard foreign‑owned IKE.
• Accounting setup and first‑year bookkeeping retainer: €1,200–€3,000.

The entire company formation Greece process for a straightforward IKE, from AFM issuance to operational bank account, can realistically be completed within two to three weeks when all founder documentation is prepared in advance.

Corporate Tax Greece 2026, Rates, Filing Calendar and E‑Invoicing

The standard corporate income tax rate for Greek‑resident companies stands at 22%, as confirmed by PwC Tax Summaries. This rate applies to all resident corporate entities with the exception of credit institutions, which are subject to a different regime.

Corporate Tax Rate and Special Regimes

Greek branches of foreign companies are taxed at the same 22% rate on Greek‑source income. Greece operates a tonnage tax regime for qualifying shipping companies, which remains one of the most favourable maritime tax frameworks globally. Development Law incentives, including tax credits, accelerated depreciation and grant schemes, continue to apply to qualifying investments in designated sectors and regions.

A company is considered Greek tax‑resident if it is incorporated under Greek law, has its registered office in Greece, or has its place of effective management in Greece during the tax year. Foreign investors structuring through non‑Greek holding vehicles should assess permanent establishment (PE) risk carefully, as the Greek tax authorities apply a substance‑based analysis that considers decision‑making location, employee presence and contract execution patterns.

Withholding Taxes and Treaty Considerations

Dividends paid to non‑resident shareholders are generally subject to a 5% withholding tax, though the EU Parent‑Subsidiary Directive eliminates withholding on qualifying intra‑EU distributions. Interest and royalty payments to non‑residents attract withholding at rates that vary depending on the applicable double taxation treaty. Greece maintains an extensive treaty network, and advance planning around withholding is essential for any cross‑border capital structure.

Filing Calendar

Corporate tax returns for the preceding fiscal year are generally due by the end of June. Advance tax payments are required in instalments during the current year, typically calculated as a percentage of the prior year’s liability. VAT returns are filed monthly for standard‑regime taxpayers and quarterly for small enterprises. The corporate tax Greece 2026 compliance calendar requires careful coordination between local accountants and group finance teams to avoid penalties for late filing.

E‑Invoicing Greece 2026, myDATA Obligations

The Independent Authority for Public Revenue (AADE) has been progressively mandating real‑time electronic reporting of revenue and expense data through the myDATA platform. In 2026, mandatory structured e‑invoicing, using XML or Peppol standards transmitted through AADE‑certified providers, is being rolled out in phases, with large enterprises subject to earlier deadlines and smaller entities following subsequently.

Each e‑invoice must carry a unique MARK (myDATA Authentication and Registration Key) identifier assigned by AADE’s systems. Finance teams should prioritise the following integration steps:

• ERP mapping: confirm that existing accounting software can generate AADE‑compliant XML schemas.
• Certified provider selection: engage an AADE‑certified e‑invoicing provider for transmission and MARK retrieval.
• Internal controls: update invoice‑approval workflows to ensure real‑time or near‑real‑time data transmission.
• Penalty awareness: AADE guidance, detailed in a February 2026 EY alert, specifies monetary fines and potential tax adjustments for non‑compliant entities.

The practical effect of mandatory e‑invoicing Greece 2026 requirements is that every business operating in Greece, including foreign‑owned subsidiaries, must have a compliant digital invoicing pipeline in place. Early indications suggest that AADE enforcement is active and that retroactive corrections attract additional scrutiny.

FDI Screening Greece, When Business Lawyers Greece Clients Must Notify

Greece activated its national FDI screening regime through Law 5202/2025, with Joint Ministerial Decision No. 64260/2025 formally commencing the filing procedure. The regime implements Greece’s obligations under the EU FDI Screening Framework (Regulation (EU) 2019/452) and introduces a mandatory, suspensory notification requirement for certain investments by non‑EU investors in sensitive sectors.

When Screening Applies, Scope and Triggers

The FDI screening Greece mechanism applies when a non‑EU investor, whether directly or indirectly, acquires control over a Greek entity operating in a designated sensitive sector. Sensitive sectors, as defined under Law 5202/2025, include:

• Defence and national security, military equipment, dual‑use technologies, classified contracts.
• Critical infrastructure, energy, transport, water, health, communications and data processing facilities.
• Telecommunications and media, electronic communications networks, broadcasting.
• Financial infrastructure, payment systems, settlement systems and certain regulated financial entities.
• Advanced technology, artificial intelligence, semiconductors, cybersecurity, robotics and aerospace.

Control is broadly defined and includes the acquisition of shares or voting rights above a specified threshold, the ability to exercise decisive influence over strategic decisions, or the acquisition of critical assets. The regime can also apply to greenfield investments if they involve a sensitive sector and a non‑EU investor.

Filing Procedure and Timeline

Under JMD 64260/2025, the investor must submit a notification to the Interministerial Committee before closing the transaction. The notification must include detailed ownership and corporate structure charts, source‑of‑funds documentation, a description of the target’s activities and a transaction rationale. The Interministerial Committee has a defined review period, during which the transaction is suspended, and may clear the investment unconditionally, impose conditions or prohibit the transaction.

Practical Structuring Advice for M&A

For transactions that may trigger FDI screening Greece obligations, deal teams should build regulatory clearance into the transaction timeline from the outset. Industry observers recommend the following structural measures:

• Conditionality clauses: make completion conditional on FDI clearance, with a long‑stop date that accommodates the review timeline.
• Escrow and holdback mechanisms: protect purchase price components pending regulatory outcomes.
• Regulatory warranties: include representations from the seller confirming no prior FDI filing obligations have been missed.
• Break fees: agree reverse break fees if clearance is denied, to compensate the seller for deal uncertainty.
• EU cooperation: where the Interministerial Committee refers the case to the European Commission under Regulation (EU) 2019/452, anticipate additional review time and disclosure requirements.

Failure to file when required can result in the transaction being unwound, monetary penalties and potential criminal liability. Any acquisition involving a non‑EU ultimate beneficial owner and a Greek target in the sectors listed above should be reviewed by experienced business lawyers Greece practitioners before signing.

Hiring and Immigration, Law 5275/2026

Law 5275/2026, published in the Government Gazette and transposing Directive (EU) 2024/1233, has modernised Greece’s migration framework with direct implications for employers hiring third‑country nationals.

Work Permit Steps for Third‑Country Nationals

The law introduces a unified work and residence permit, replacing the previous multi‑step process. Employers sponsoring a third‑country national must:

1. Pre‑screen the role to confirm it falls within an eligible employment category.
2. Support the employee’s national visa (Type D) application from their country of origin.
3. File the unified permit application with the Migration Ministry, including an employment contract, proof of accommodation and health insurance.

The streamlined process under Law 5275/2026 is also expected to benefit intra‑company transferees and digital nomad visa holders, though detailed implementing decisions are still being issued by the Ministry of Migration and Asylum.

Payroll and Withholding Impacts

Employers must determine whether a hired non‑resident is Greek tax‑resident (based on the 183‑day rule and centre‑of‑vital‑interests tests) and apply payroll withholding accordingly. Misclassification of employment status, particularly for cross‑border secondments, remains a significant compliance risk. Employers should maintain a checklist that includes contract of employment, social security coordination (EU A1 certificates or bilateral agreements), tax residency certificates and immigration permit copies.

Ongoing Corporate Compliance Greece, Governance and Reporting

Once operational, every Greek entity faces continuous compliance obligations that business lawyers Greece advisors routinely manage for their international clients:

• UBO registry. Beneficial ownership data must be filed with the Central UBO Registry and updated within 60 days of any change in ownership or control. Failure to maintain accurate UBO records can result in fines and restrictions on the entity’s operations.
• Annual financial statements. Companies must prepare financial statements in accordance with Greek Accounting Standards (or IFRS for larger entities), file them with GEMI and submit them for approval at the annual general meeting.
• Corporate records. Minutes of board meetings, shareholder resolutions and registers of members must be maintained and available for inspection.
• myDATA real‑time reporting. Beyond initial e‑invoicing compliance, entities must transmit revenue and expense classification data to AADE on an ongoing basis. Late or inaccurate submissions trigger penalties under AADE circulars.
• Data protection. Entities processing personal data, including employee records, must comply with the GDPR and Greek Law 4624/2019. Cross‑border transfers of employee data require appropriate safeguards.
• AML obligations. Entities in regulated sectors must implement customer due diligence procedures, appoint a compliance officer and file suspicious transaction reports with the Hellenic Financial Intelligence Unit.

Red flags for investors: the most common corporate compliance Greece failures among foreign‑owned entities are late UBO updates after parent‑company restructurings, missed myDATA transmission deadlines in the first months of operation and payroll misclassification of seconded employees. Each carries monetary penalties and, in serious cases, can trigger tax audits.

Practical Checklists and Sample Clauses

The following checklists consolidate the key action items from this guide into ready‑to‑use formats for deal teams and finance departments.

Pre‑incorporation due diligence checklist:

• Confirm entity type (IKE, EPE or AE) based on capital, governance and exit requirements.
• Obtain Greek AFM for all founders; prepare apostilled identification documents.
• Verify company name availability via GEMI.
• Draft articles of association with pre‑emptive rights, deadlock provisions and transfer restrictions as needed.
• Confirm UBO reporting data and prepare Central Registry filing.

FDI filing pack checklist:

• Map full ownership chain to ultimate beneficial owner(s), identify all non‑EU links.
• Classify target’s sector against Law 5202/2025 sensitive‑sector list.
• Prepare source‑of‑funds documentation and transaction rationale memorandum.
• Draft conditionality clause for SPA: completion subject to Interministerial Committee clearance.

E‑invoicing tech readiness checklist:

• Audit current ERP/accounting software for AADE XML schema compatibility.
• Select and contract with an AADE‑certified e‑invoicing provider.
• Configure MARK identifier retrieval workflow.
• Test end‑to‑end transmission with sample invoices before go‑live.

Sample clause, FDI conditionality:

“Completion of the Transaction shall be conditional upon the Buyer receiving unconditional clearance (or clearance subject only to conditions acceptable to the Buyer, acting reasonably) from the Interministerial Committee established under Law 5202/2025 and Joint Ministerial Decision No. 64260/2025. If such clearance is not obtained by the Long‑Stop Date, either Party may terminate this Agreement by written notice, and the Reverse Break Fee provisions of Clause [X] shall apply.”

For tailored advice on structuring Greek market entry, navigating FDI filings or implementing e‑invoicing compliance, foreign investors should engage experienced business lawyers in Greece through the Global Law Experts directory. Enquiries can be submitted directly via the contact page.

Sources

1. Independent Authority for Public Revenue (AADE), myDATA
2. Gov.gr, myDATA / AADE Portal
3. PwC, Greece: Taxes on Corporate Income
4. UNCTAD, Greece Activates Its FDI Screening Regime
5. Ministry of Migration and Asylum, Law 5275/2026
6. European Commission, FDI Screening Framework
7. EY Greece, Mandatory E‑Invoicing Alert (February 2026)
8. Enterprise Greece, Tax Guide 2025/2026