Stephanos Mitsios

The recently enacted L. 3480/2010 is bringing about drastic changes in the tax environment of Greece. One of its most controversial provisions relates to the taxation of company profits.

In particular, the new tax law introduces essentially two corporate tax rates for the profits of Greek companies depending on whether profits are distributed or not. If the company's profits are not distributed, then the applicable corporate tax rate is 24% for the profits of fiscal year starting on January 1 2010 up to December 31 2010 and is gradually reduced by one percentage point each year to reach 20%...