Donations in life

Συμβολαιογραφικές & Νομικές Υπηρεσίες


By donation in life act the donor grants to the donation recipient a property object without consideration. To enter it requires a contract between the parties, which must be effected by notary deed, which then is transcribed to the competent Land Registry or entered in the competent Cadastral Office.

It is possible to establish a donation in life "on condition", according to which, the recipient in order to receive the object of the donation, undertakes the obligation to proceed with a certain action or omission in favour of the donor or of a third party.

Usual cases of property donations in life:
•    Donation in life by full ownership: the benefit recipient becomes full owner of the property, has absolute power and may dispose of it as he pleases.
•    Donation in life by bare ownership and withholding of the usufruct right by the donor: the benefit recipient becomes bare owner of the property only, has no right of use of the benefits, shall become full owner when the usufruct right is joined with the bare ownership, either by the posterior death of the usufructor – donor, or by waiver of the usufructor – donor from the usufruct right.
The donation in life by bare ownership of properties is chosen more commonly by the donor in relation with the donation by full ownership, because it ensures for the donor the right of exploitation and use of the properties that he transfers for life, while parallel to this it is also the most economically advantageous choice than that of the transfer of full ownership. 
•    Waiver from property usufruct right due to donation in life: When the donation recipient has already acquired to right of bare ownership of a property, the usufructor – donor is entitled to, as long as he wishes, waive his usufruct right in favour of the bare owner.
The decision of waiver from usufruct usually has a criterion either to render the bare owner, following the waiver, full owner of the property now, or for the usufructor may stop being charged with income tax and property tax for the specific property, which taxes shall now burden the full owner.
•    Establishment of property usufruct due to donation in life:  The act by which the property owner concedes to a third party the usufruct right of this property, that is the right to fully exploit the property and reap the fruits if its benefits, while the donor themselves continue to withhold the bare ownership right of said property. The establishment of the usufruct right may be effected for a certain period of time or for life in favour of the beneficiary.
The act is done mainly either for the purposes of tax exemption of the property from the proportion income tax and from the proportion property tax, which from then on shall burden the donation recipient to whom usufruct shall be transferred, or for the purposes of financial relief of the donation recipient from the income they shall collect from the use of the property transferred to them.

Taxation of donation in life:
The taxation of donation in life depends on the degree of kinship or not between the parties and on the total of the value of the donation. In cases where there is kinship between the donors and depending on the degree thereof there is a tax exemption limit, which is defined by the tax law each time. Beyond the tax exemption limit the donation in life is taxed by a scale and always in accordance with the applicable tax law.

In the case where there is no kinship between the parties (abroad), the donation in life has no tax exemption limit, but it is taxed in accordance with the tax scales set forth by the applicable tax law(s).

Current tax scale for donations in life (for declarations, in time by 8.1.2010):

Category I (spouse - children - grandclildren - parents):

Tax Scale Rate Tax Step Property Value Tax
150.000,00 €  
0%   0   150,000 €  0  
150.000,00 €  
1%   1,500 €  300,000 €  1,500 € 
300.000 €  
5%   15,000 €  600,000 €   
Εxcess   10%        





• The informal donations in life money taxed outside scale with rate of 10%.

Category II (other descendants and ascending - brothers - 1st uncles):

Tax Scale Rate Tax Step Property Value Tax
30.000,00 €   0%   0 €   30.000,00 €   0 €  
70.000,00 €   5%   3.500,00 €   100.000,00 €   3.500,00 €  
200.000,00 €   10%   20.000,00 €   300.000,00 €   23.500,00 €  
Excess   20%        






Category III (other relatives - foreign):

Tax Scale Rate Tax Step Propert Value
6.000,00 €   0%   0 €   6.000,00 €   0 €  
66.000,00 €   20%   13.200,00 €   72.000,00 €   13.200,00 €  
195.000,00 €   30%   58.500,00 €   267.000,00 €   71.700,00 €  
Excess   40%        






Usual documents required:

• Tax clearance of the donor.
• Social security clearance for the donor by the