Support for the islands of the Aegean: the government cuts VAT by 30%

From January 1 On 19 Islands of the Aegean SeaVAT is reduced by 30%. Food, tourism and services will become more accessible.

19 islands of Greece We received a special tax regime: from January 1, the VAT rate is reduced by 30%. Finance Minister Kiryako Pierrakakis explained:

“In fact, VAT with 24% falls to 17%, and from 13% to 9%.”

Until now, the benefit has been operating only on the five islands of the Aegean Sea (Khios, Leros, Samos, Lesbos and Kως), where the centers of taking migration flows are located. Now the regime applies to 19 islands with a population of up to 20,000 people (according to the 2021 census).

An annual budget burden This measure is estimated at 25 million euros. For residents, this means:

• cheaper food and essential goods are cheaper,
• reducing the cost of food and tourism services,
• More affordable medicines and books.

At the same time, the government expects that the fall of VAT will strengthen The competitiveness of local enterpriseswill give an impetus to tourism and become Support for the island communitieswho hold life in the most vulnerable corners of the country.

List of islands with preferential VAT:

Note: The municipality also includes adjacent small islands.

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