Ban on new licenses for Airbnb in Athens: what owners need to know

Airbnb: when it is necessary to start a business activity where there is a “ban” on new licenses.

Rental duration is the main criterion for determining Is the rental considered short term? and is taxed like an Airbnb or is considered long-term and classified as a holiday home, according to detailed new guidance published Independent State Revenue Administration (ΑΑΔΕ).

Leases of up to 59 days are considered short-term, while leases of 60 days or more are classified as long-term, with different tax treatment.

Ban on new licenses for Airbnb in Athens: what owners need to know pic.twitter.com/KjlMQwNK0d

— Athens News (@russianathens) January 3, 2025

When is it necessary to start a business?

If the owner is limited to providing bed linen, then the property remains in “Airbnb” status. However, if additional services such as cleaning, meals or other amenities are provided, then the property is considered tourist accommodation. In this case, it is necessary to start a business activity and comply with additional obligations provided for by law. In particular, according to the explanations provided by ΑΑΔΕ:

• For short-term rentals, the maximum period is 59 days, provided that the property is furnished and no additional services are provided. This rule applies regardless of whether the rental is made through a digital platform or not.
• Leases of 60 days or more are considered long-term and require filing. applications for information on rental real estate V ΑΑΔΕ.
• If the tenant leaves the property before the end of the long-term lease (early), the tenancy status remains long-term as it is based on the agreed duration and not the actual length of occupancy.

For a property to remain an Airbnb short-term rental, it must not provide any services other than linens. If services such as breakfast, cleaning or transport are offered, the property is considered tourist accommodation and is subject to a different tax and administrative regime. In this case, the owner is obliged to start a business activity and comply with the rules applicable to tourism enterprises.

The responsibilities of short-term rental property owners include registering with Register of short-term rental properties ΑΑΔΕ and receiving Property registration numbers (ΑΜΑ).

ΑΜΑ must be indicated in every advertisement on digital platforms and in any means of real estate advertising. In addition, for each rental you must submit short term rental applicationand income is taxed depending on the number of rental properties.

For rental income from up to two qualifying properties, the tax is calculated as real estate income. At the same time, if three or more objects are rented out, the income is taxed as a business activity. In this case, the owner is required to start a business and possibly register for VAT at 13%.

The manager of a short-term rental may be the owner himself, the user of the property, a subtenant with a contract granting the right, or a third person or entity who has assumed management. In the latter case, special categories are included, such as guardians of the estate, executors of wills and legal representatives. The manager is responsible for registering the property in Register of short-term rental properties ΑΑΔΕreceiving Property registration numbers (ΑΜΑ) and applying for short-term rentals. This data must be displayed on all platforms or other means of advertising the property.

If the property is rented in parts (for example, separate rooms), the manager is obliged to provide a separate ΑΜΑ for each part. It is important that if the manager is a third party, an application is required from the owner granting the right to manage, indicating Property identification numbers (ΑΤΑΚ). The correctness of the data that the manager registers in the register is of critical importance, since in the event of an audit he is responsible for providing all legitimate documents confirming management. The manager also has the opportunity to correct errors or change data before final registration, which must be completed by February 28 of the following year.

Where is the “ban” on new licenses for Airbnb?

It is worth noting that from January 1, 2025 to December 31, 2025, a ban on new licenses for Airbnb was introduced for properties located in the 1st, 2nd and 3rd municipal districts of the city of Athens, which leads to the impossibility of registration in Register of short-term rental properties.

In particular, in the list of areas of Athens where will not be issued Property registration number (ΑΜΑ), are located: Plaka, Kolonos, Koukaki, Syntagma, Monastiraki, Exarchia, Ilisia, Neapoli, Mets, Neos Kosmos, Agios Artemios, Pangrati, Botanika, Metaxourgio, Gazi, Petralona and Roof.

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