The countdown is on for vehicle owners across Greece as the deadline for paying the 2025 circulation tax approaches. All payments must be completed by December 31, 2024, with no extensions, as the finance ministry has reiterated multiple times. This is emphasized by officials to encourage timely compliance and avoid significant penalties associated with late payments.
The charges for the 2025 circulation tax remain unchanged from the previous year. Vehicle owners must be particularly vigilant to avoid facing financial penalties, which vary depending on how late the payment is. If payment is not made by the deadline, fines will begin at 25% of the total tax owed if paid by January 31, 2025, and can escalate to 100% if payments are made after March 1, 2025.
Payment can be done through the Independent Authority for Public Revenue (IAPR) digital portal, myAADE, where the necessary tax amounts are posted. Various options for completing the payment have been made available to facilitate compliance, including through bank apps, ATMs, or directly at local branches with the official payment notice.
For vehicle registrations made from January 1, 2006, to October 31, 2010, the circulation tax rates for 2025 are as follows: for vehicles up to 300cc, the tax is set at €22, rising to €1,380 for vehicles exceeding 4,001cc. Similar structured rates apply to vehicles registered between January 1, 2001, and December 31, 2005, and those registered prior to the year 2000, ensuring uniformity across all vehicle classifications.
Interestingly, vehicle owners now have the option to declare their vehicles as digitally immobilized, which releases them from the obligation of paying circulation tax for 2025. This declaration must be completed by December 31, 2024, and significantly simplifies the previous process, allowing users to do so online without presenting physical documents.
According to the tax authority, the new system is implemented to encourage timely payments, contrasting with the prior leniency often seen. For those who fail to comply, significant penalties will be enforced, targeting habitual offenders who may have gotten used to ignoring their tax duties.
To successfully navigate the payment and immobilization process, vehicle owners must be aware of the following key points:
- If ownership of the vehicle is transferred during 2024, the new owner will bear the responsibility for the 2025 tax from January 1.
- For jointly-owned vehicles, the tax will be issued collectively for each owner, necessitating collaboration among co-owners to avoid disputes.
- The new digital immobilization declaration not only facilitates tax exemption but also handles scenarios such as theft or natural disasters without requiring visits to local tax offices.
The fines for unauthorized circulation of vehicles declared immobilized are steep, hitting €10,000 for first offenses and potentially spiking to €30,000 for repeated violations, alongside the suspension of driving licenses for three years.
This systematic approach by the IAPR is aimed at curbing the habitual noncompliance of some vehicle owners and instilling discipline among the tax-paying populace. The fundamental reminder remains: timely payment is not just about avoiding penalties, but also about participating responsibly in civic duties.
With the deadline looming, it is incumbent upon vehicle owners to take action—check their vehicle tax expectations, complete the digital immobilization if necessary, and settle any dues swiftly to avoid financial repercussions.
