In one of the most critical steps of digital modernization, the tax administration is moving forward by activating a new, powerful tool in the coming days: the Property Ownership and Management Registry. Its operation marks a decisive turning point in combating tax evasion in the real estate sector, where for years there has been fragmented recording, income under-reporting, and in many cases, complete concealment of properties or even declarations of properties, mainly agricultural plots, that don’t belong to the declarants.
What changes for property owners and tenants – What the new system brings for real estate
The new system brings a unified, interconnected digital environment that combines data from the Tax Authority (AADE), the Land Registry, the electricity distribution network operator (DEDDIE) and other agencies, creating for the first time the complete “file” of each property. For property owners this means a new obligation: They will need to check, confirm and -where necessary- complete their property details to avoid errors, omissions or even fines. At the same time, they are required to declare the use of each property, whether it’s a primary residence, rental property, commercial space or short-term rental. The new regime radically changes the landscape of real estate taxation and for the first time brings property owners, tenants and the tax administration to the same digital “page”.
The Property Ownership and Management Registry, created by AADE in collaboration with other agencies, will include comprehensive data for all properties of citizens and businesses – meaning over 7.5 million taxpayers. Cross-referencing data with the Land Registry, DEDDIE, the Technical Chamber and insurance contracts will create a unified digital profile for each property. This profile will include details such as:
- the type of property,
- the surface area,
- the floor,
- whether it has electricity,
- whether it’s rented, vacant or freely provided,
- the ATAK number,
- the KAEK code from the Land Registry,
- even information about urban planning permits or pending legal disputes.
Phase A: Automatic cross-checks – What property owners need to do
In the first phase, starting in the coming days, cross-referencing will begin between data held by AADE, through the E9 form, with the Land Registry, specifically with the KAEK (National Land Registry Code Number). The process will happen in real time and, if the data matches, the file will be completed. After data processing is finished, property owners will receive a message to check their declared information and, in some cases, complete missing data, either at AADE or the Land Registry.
It should be noted that the file for each property will include all information about taxpayers’ properties from their basic characteristics, such as property type, surface area, location, floor, electricity connection, incomplete status, whether it’s vacant, rented or freely provided, the Property Identity Number (ATAK), the National Land Registry Code Number (KAEK), data from DEDDIE, insurance contracts up to any pending lawsuits and urban planning permits from the Technical Chamber of Greece.
In cases where properties are identified that haven’t been declared to the Tax Office, but only to the Land Registry, AADE will begin audits. This is because, if it hasn’t been declared in the E9 form, no property tax (ENFIA) or previous real estate taxes have ever been paid. In these cases, the tax administration will issue a tax assessment notice requiring the taxpayer to pay it in full or include it in the permanent payment arrangement.
Conversely, for minor discrepancies, no fines will be imposed. As AADE officials note, cross-referencing data with the Land Registry will lead to clarifying the situation for each property. However, the KAEK shows a static picture at the time of property acquisition. For example, it shows the purchase of a plot but not the construction of a building. Now, with the union of the two systems, everyone will have the latest -real- picture of the property’s status.
Phase B: Mandatory usage declaration – Targeting undeclared rental income
The second phase of the project, which will start at the end of the year, concerns declaring the use of each property. Owners will need to declare whether a property is their primary residence, commercial space, rented or offered through short-term rental. Tenants will also have access to the system and will be required to confirm rental details. If discrepancies are found, such as lower declared rent than the actual amount, they must declare it.
The new system will allow AADE to automatically cross-check rental income, eliminating margins for under-reporting or hiding income. Additionally, the Registry will be connected:
- with E1 and E2 forms, so that rental income and tenant expenses are automatically pre-filled, and
- with the National Land Registry, to identify discrepancies and claims between private parties and the State.
Tax evasion in rental income
Concealing rental income is widespread. Declared rental amounts fall significantly short of actual amounts. For example, in 2023 the average declared expense for primary and student housing was 211 euros, an amount clearly lower than market prices.
Rental income under-reporting is attributed to cash payments, avoiding contracts and, mainly, heavy taxation. Rental income tax rates range from 15% to 45%, discouraging declaration. The government is considering reforming the tax scale for real estate income to reduce tax evasion incentives. At the same time, fines and audits are on the table for those who continue to hide income, while from January 2026 all rent payments will be made through the banking system, mandatorily.
Published in Money Pro of Parapolitika
