What Is the Lump-Sum Tax Regime? (€100K Non-Dom) Explained

Overview of the Greece Lump-Sum Tax Regime

The Greece Lump-Sum Tax Regime, commonly referred to as the Greek Non-Dom Regime, is a strategic tax framework designed to attract high-net-worth individuals, global entrepreneurs, and international investors to Greece through a fixed annual tax on foreign income.

Introduced under Article 5A of the Greek Income Tax Code, this system allows qualifying investors to establish Greek tax residency while significantly simplifying taxation on non-Greek income.

For internationally mobile investors, the regime creates a powerful combination of:

• Tax predictability
• European tax residency
• Global wealth structuring
• Greece Golden Visa compatibility
• Real estate-backed residency strategy

According to GreeceGoldenVisa.com.gr, investors increasingly combine the Greece Golden Visa Program with the Greek Non-Dom regime to build a long-term European base while maintaining global tax efficiency.

What Is the Lump-Sum Tax Regime in Greece?

The Greece Lump-Sum Tax Regime is an alternative tax system under which eligible individuals pay a fixed annual tax of €100,000 on all qualifying foreign-sourced income, regardless of how much foreign income they generate.

Core Principle

Instead of progressive taxation on global foreign income:

• €500,000 foreign income → €100,000 tax
• €5,000,000 foreign income → €100,000 tax
• €20,000,000 foreign income → €100,000 tax

This makes Greece one of Europe’s most competitive jurisdictions for certain HNWIs seeking tax residency relocation.

Main Features Include:

• Fixed €100,000 annual tax
• Covers foreign-sourced income
• No progressive global foreign income taxation
• Up to 15-year duration
• Potential family extension
• Strategic EU residency positioning

The Legal Basis: Article 5A of the Greek Income Tax Code

Article 5A is the legal foundation of Greece’s investor-focused Non-Dom regime.

Why Article 5A Was Introduced

The Hellenic Republic designed Article 5A to:

• Attract foreign capital
• Compete with Italy and Switzerland
• Encourage tax residency relocation
• Strengthen Greece’s appeal to HNWIs
• Support broader foreign investment

Key Legal Characteristics:

• Requires transfer of tax residency to Greece
• Targets new tax residents
• Structured alternative to standard Greek taxation
• Connected to qualifying investment obligations

Since its launch, Article 5A has become one of Greece’s strongest strategic tax tools.

How the Greek Non-Dom Regime Works

The Greek Non-Dom regime separates taxation into two categories:

Foreign Income:

Covered under the lump-sum tax system

Greek-Sourced Income:

Taxed under standard Greek tax law

Practical Example:

An investor with:

• Foreign dividends
• Global portfolio gains
• Overseas company profits

may use the €100,000 lump-sum framework for foreign income, while:

• Greek rental income
• Greek salaries
• Greek local business profits

remain subject to ordinary Greek taxation.

This distinction is critical.

Overview of Greece’s Alternative Tax Regime for HNWIs

Greece introduced this system to position itself among Europe’s tax-attractive jurisdictions.

Investor Benefits Include:

• Predictable annual taxation
• Simplified wealth planning
• Schengen-region strategic base
• Potential combination with Greece residency by investment
• Lifestyle relocation

Popular Investor Markets Include:

• United Kingdom
• United States
• UAE
• Turkey
• Global entrepreneurs

For investors seeking European mobility and tax structure, Greece increasingly competes with:

• Italy’s flat tax system
• Switzerland’s lump-sum structures
• Other international residency hubs

The €100,000 Lump-Sum Tax Rule Explained

This is the core feature of the program.

Main Rule:

Eligible investors pay:

€100,000 per year on foreign income

Key Benefits:

• No progressive escalation
• Predictable planning
• High-income optimization
• Simplified global tax exposure

Family Extension:

Additional family members may often be added for an additional fixed amount per person.

This makes Greece especially attractive for wealthy families seeking broader relocation planning.

Duration of the Greece Lump-Sum Tax Regime

The regime may generally remain active for up to 15 years.

Timeline Structure:

• Begins from year of approval
• Renewable annually through compliance
• Long-term strategic predictability

This duration allows investors to align:

• Wealth planning
• Family strategy
• Residency
• Real estate
• Estate planning

Eligibility Requirements for the Greece Lump-Sum Tax Regime

To qualify, investors must meet legal and financial conditions.

Transfer of Tax Residency to Greece

Applicants must establish Greek tax residency.

This usually includes:

• Declaring Greece as primary tax jurisdiction
• Establishing strong economic ties
• Meeting residency or center-of-interest criteria
• Registering with Greek tax authorities

€500,000 Investment Requirement in Greece

A minimum €500,000 investment is generally required.

Common Routes Include:

• Greek real estate investment
• Strategic property acquisition
• Athens property
• Thessaloniki property
• Broader qualifying investments

This naturally aligns with investors already evaluating Greece Golden Visa eligible properties.

Previous Tax Residency Restrictions

Applicants generally must not have been Greek tax residents for 7 of the previous 8 years.

Purpose:

This ensures the regime targets:

• New arrivals
• Relocating HNWIs
• International investors
• Genuine tax migrants

Which Income Is Covered by the Lump-Sum Tax Regime?

Understanding covered income is critical.

Foreign Investment Income

Covered examples include:

• Dividends
• Foreign interest
• Overseas portfolio gains
• Global securities profits
• International passive income

International Business Income

Covered examples may include:

• Offshore company profits
• International consulting
• Foreign operational profits
• Global business revenue outside Greece

Greek Income Is Not Covered

Greek-generated income remains taxed normally.

Examples:

• Greek rental income
• Greek salaries
• Greek domestic business profits

Strategic Rule:

Foreign income → Lump-Sum Regime
Greek income → Standard Greek Taxation

Key Tax Benefits of the Greece Lump-Sum Regime

Fixed Tax Predictability

This supports:

• Wealth planning
• Portfolio strategy
• Tax optimization
• International structuring

Reduced Foreign Asset Reporting Complexity

The regime may simplify administrative burden for certain investors.

Inheritance and Gift Tax Advantages on Foreign Assets

Foreign assets may benefit from meaningful estate-planning advantages under this framework.

This is especially relevant for:

• Family offices
• Wealth transfer
• Intergenerational structuring

Article 5B – Greece’s Retiree Tax Regime

Greece also offers Article 5B for retirees.

Main Features:

• 7% flat tax on foreign pension income
• Up to 15 years
• Retirement-focused relocation

Article 5A vs Article 5B

For Golden Visa investors, Article 5A is generally the more relevant framework.

Relationship Between the Lump-Sum Tax Regime and the Greece Golden Visa

The Greece Golden Visa Program and Article 5A are separate legal systems, but they are often strategically combined.

Greece Golden Visa Investment Options (2026)

Combined Strategic Model:

1. Secure Greece residency through Golden Visa
2. Transfer tax residency
3. Apply for Article 5A
4. Structure foreign income under lump-sum system

Strategic Advantages:

• Residency
• Schengen access
• Tax efficiency
• Property investment
• Wealth planning

For many HNWIs, this becomes a residency + tax + real estate strategy rather than a simple visa.

Greece Tax Residency Program for International Investors

To unlock the Non-Dom regime, investors must establish formal tax residency.

Common Steps Include:

• Obtain AFM
• Register with tax authorities
• Establish legal residence
• Complete investment
• Maintain compliance

Maintaining Tax Residency Status

Investors generally must:

• Maintain investment
• Remain compliant
• Meet relevant residency or economic criteria
• Make annual payments

Failure may jeopardize tax benefits.

Greece vs Other European Tax Regimes

Greece Compared with:

• Italy
• Switzerland
• Portugal’s prior frameworks

Competitive Advantages May Include:

• Golden Visa integration
• Real estate market access
• Strategic EU location
• Lifestyle benefits
• Tax predictability

Long-Term Wealth and Tax Planning Opportunities

The regime is often used for:

• Portfolio optimization
• Family office relocation
• Tax jurisdiction diversification
• Estate planning
• Residency strategy

For investors seeking broader strategic positioning, Greece increasingly offers both lifestyle and financial utility.

Key Considerations Before Applying

Before entering the regime, investors should evaluate:

• Home-country tax obligations
• Double taxation agreements
• Investment quality
• Golden Visa compatibility
• Greek legal compliance
• Professional structuring

Common Mistakes Include:

• Misunderstanding tax residency
• Poor property selection
• Improper foreign income structuring
• Missing compliance obligations

According to GreeceGoldenVisa.com.gr, professional tax and legal guidance is essential before application.

Final Thoughts: Is the Greece €100K Non-Dom Regime Worth It?

For the right investor profile, the Greece Lump-Sum Tax Regime can be one of Europe’s most powerful wealth structuring tools.

It may be especially relevant for:

• HNWIs
• Entrepreneurs
• Global investors
• Family offices
• International business owners

When combined with the Greece Golden Visa Program, it can create a rare strategic combination of:

• European residency
• Real estate
• Tax efficiency
• Wealth planning
• Lifestyle

However, it is not universally suitable. The true value depends on:

• Income type
• Global tax profile
• Investment strategy
• Family goals

Frequently Asked Questions About the Greece Lump-Sum Tax Regime

What is the lump-sum tax program in Greece?

It is a special tax regime allowing eligible investors to pay a fixed €100,000 annual tax on qualifying foreign income.

What is the Greece Non-Dom Regime?

It is Greece’s alternative tax framework under Article 5A for qualifying foreign investors who transfer tax residency.

How long does the regime last?

It may generally remain active for up to 15 years, subject to compliance.

What is the investment requirement?

A minimum qualifying investment of €500,000 in Greece is generally required.

Can Golden Visa investors apply?

Yes, many investors strategically combine Greece Golden Visa residency with Article 5A tax planning.

Does Greek income fall under the lump-sum system?

No. Greek-sourced income is typically taxed under standard Greek tax rules.

Is the regime suitable for retirees?

Retirees may instead evaluate Article 5B, which offers a separate pension-focused framework.