Greece has decided to introduce an accelerated VAT refund procedure for certain types of businesses.
As such, according to a Circular (Circular 1103/2017) published recently VAT refund claims will be processed with priority and refunds will be made without a prior audit for businesses that are:
• Licensed Authorised Economic Operators and
• At least 50% of their annual turnover is derived from transactions that are not subject to VAT
The above tax payers will need to cumulatively fulfil other conditions as well, mostly related to their risk profile as seen by the Greek Tax Authorities:
• they must not be suspect in fraud investigations,
• must not have had certain tax or customs violations in the past 3 years,
• their previous tax audits related to VAT reclaims must have not resulted in significant deviations of the VAT effectively refunded
A second circular (1132/2017) was published aimed at unblocking pending VAT refund claims. The circular states that tax payers still awaiting a decision from the Greek Tax Authorities as a result of an audit will be granted a refund of the VAT reclaimed, provided that the amount in question does not exceed EUR 10,000 and no temporary tax adjustments have been issued by the authorities.