VAT (FPA) regimes — 24 / 13 / 6% and island rates

Greek VAT (FPA — Foros Prostithemenis Axias, literally "value-added tax") is built around three rates: 24% standard, 13% reduced and 6% super-reduced. Greece long applied a discount on the Aegean islands, largely abolished since 2016 but kept transitionally on the most isolated ones. Each rate maps to a vatCategory code in myDATA, directly linking the invoice to the tax return.

History — VAT code 2859/2000 and the crisis

Greece introduced VAT in 1987 on joining the EEC. The current reference text is Law 2859/2000, which codifies the "VAT Code". The 2010-2015 decade deeply reshaped the schedule: under the debt crisis and the adjustment programmes, the standard rate rose from 19% to 23% then to 24%, and the famous island discount (-30%) was progressively abolished from 2016.

text vat-timeline.txt

1987       | VAT introduced in Greece on EEC accession, replacing the
           | turnover taxes.
           |
2000       | Law 2859/2000 — codification of the "VAT Code" (Greek VAT code),
           | the reference text consolidating rates and exemptions.
           |
2010-2015  | Debt crisis: successive standard-rate hikes (from 19% to 23% then
           | 24%). Reduced rates tightened. Progressive reduction of the
           | Aegean-island discount.
           |
2016       | Standard rate raised to 24%. Reduced 13%, super-reduced 6%. The
           | island "discount" (-30%) is abolished for most islands, kept
           | transitionally for the most isolated / migration-pressured ones.
           |
2020-2021  | Temporary targeted cuts (transport, restaurants, tourism) in
           | response to COVID-19, then partial return to reference rates.
           |
2021-2024  | VAT codes (vatCategory) integrated into myDATA: each invoice line
           | carries its rate, e-books <-> VAT reconciliation becomes automatic.
           | Strengthened base control.

Governance — AADE + Ministry of Finance

VAT is administered by AADE (the Independent Authority for Public Revenue). The rates and exemptions are set by law (Law 2859/2000 and successive budget laws), while the filing procedures, codes and forms are set by A. decisions of the AADE Governor, published in the Government Gazette (FEK). VAT returns are filed via the AADE portal and, since myDATA, checked against the electronic books.

Schema — rates, islands, myDATA vatCategory

In a Greek electronic invoice, each line carries a rate and a myDATA vatCategory code. Exempt or reverse-charge transactions additionally carry an exemption cause (vatExemptionCategory). Here is the rate grid and its codification:

text vat-rates.txt

VAT rates (mainland) and myDATA vatCategory codes
=================================================
Standard rate      24%   default goods/services         vatCategory 1
Reduced rate       13%   food, water, hospitality,       vatCategory 2
                         certain services
Super-reduced rate  6%   medicines, books, press,        vatCategory 3
                         show tickets, targeted energy
Exempt / 0%         0%   exports, intra-EU, health,      vatCategory 7 / 8
                         education, certain financial services

Historical reduced AEGEAN-island rates (-30%)
=============================================
  Historically: 17% / 9% / 4% on certain isolated islands
  (Lesbos, Chios, Samos, Kos, Leros, Cos...).
  Largely abolished since 2016-2018, kept transitionally on
  islands under heavy pressure (check current status).

Special mechanism
=================
  Reverse charge (antistrofi ypochreosis): for certain transactions
  (intra-EU B2B, waste, certain works), the BUYER self-accounts for
  VAT. On the invoice: net + note, adjusted vatCategory + exemption
  cause (vatExemptionCategory) in myDATA.

Greek VAT vs EU neighbours

Country	Standard	Reduced	Particularity
Greece	24%	13% / 6%	Aegean-island discount (remnants)
Italy	22%	10% / 5% / 4%	SdI clearance
Cyprus	19%	9% / 5% / 3%	Cultural proximity, lower rates
Hungary	27%	18% / 5%	Highest EU standard rate
Croatia	25%	13% / 5%	Fiskalizacija CTC

Application — invoicing and returns

Line by line: each invoice line carries its rate and vatCategory; multi-rate invoices are common (e.g. restaurant 13% + alcoholic drinks 24%).
Automatic reconciliation: the VAT amounts in the electronic books feed / check the VAT return — a discrepancy is flagged.
Self-accounting: reverse-charge transactions are invoiced tax-exclusive with a note, the buyer reporting the VAT.
Exemptions: exports, intra-EU supplies, health, education — coded with an explicit exemption cause in myDATA.

Common pitfalls

Applying an old "island" rate. Most discounts were abolished from 2016; check the island's current status before any local reduced rate.
Wrong vatCategory. Confusing 13% (reduced) and 6% (super-reduced) skews collected VAT and desyncs the e-books from the return.
Forgetting the exemption cause. A 0% / exempt transaction without vatExemptionCategory is rejected or suspect on the myDATA side.
Reverse charge mis-invoiced. Issuing with VAT a transaction that falls under self-accounting creates double taxation and a customer dispute.
Confusing exempt and out-of-scope. An exempt intra-EU supply is not "out of VAT": it must appear in the recapitulative statement with the correct code.

Foundations

Standards

Flagship messages

Tools