Buying a home in Greece is not just an investment decision or a lifestyle choice. It creates an asset in another country — and with it, questions of inheritance, wills, taxation, and registration. For an Israeli investor, proper planning begins before signing: Who will inherit the property? Which law will apply? How much tax might be due in Greece? And which documents should be kept starting now?

The short answer: Greece imposes inheritance tax on real estate located in Greece even when the owner and heirs are Israeli. The tax is calculated separately for each heir, based on the net value of their share and their degree of kinship to the deceased. Israel currently has no inheritance or estate tax, but this may have tax implications when the property is sold in the future. A coordinated will and an organized document file can prevent delays, costs, and disputes.

Legal and tax disclaimer: The information in this article is general only, accurate as of its update date, and does not constitute and is not intended to constitute legal, tax, accounting, financial, or investment advice, a professional opinion, or a recommendation to carry out any transaction. The law, practice, and tax rates may change, and their application depends on the facts and personal circumstances of each individual. This information should not be relied upon for making decisions or taking action without individual consultation with qualified professionals in Israel and Greece. Greece Invests is not a law firm, accounting firm, or tax advisory firm, and this publication does not create an advisor–client relationship. Subject to applicable law, Greece Invests is not liable for any action, omission, damage, or expense arising from reliance on the information in this article.

Does an Israeli Pay Inheritance Tax on a Home in Greece?

Yes. According to the Greek tax authority, inheritance tax applies to property located in Greece regardless of whether the owner was a resident of Greece or a foreign resident. The party liable for the tax is the heir or beneficiary, and the tax is determined based on the net value of the share received by each heir — after deducting the estate’s recognized debts — and according to their degree of kinship to the deceased.

In simple terms: the fact that the deceased and the children live in Israel does not remove the Greek home from the scope of Greek inheritance tax. Nor does the fact that Israel has no inheritance tax cancel the liability in Greece.

How Much Inheritance Tax Is Paid in Greece?

Greek law divides heirs into three categories. The rates are progressive: each portion of value is taxed at the rate of the bracket it falls into, not the entire sum at the highest rate.

Category A — Immediate Family

Category A includes a spouse, a partner in a recognized civil union, children, grandchildren, and the deceased’s parents.

Category B — More Distant Relatives

Category B includes, among others, grandparents, siblings, nieces and nephews, in-laws (parents and children of a spouse), and certain other relatives.

Category C — Other Heirs

Category C includes anyone not included in Category A or B, including an unmarried partner who is not party to a civil union recognized under Greek law, as well as individuals with no qualifying family relationship.

The classification matters just as much as the value of the home. For example, a grandparent is not in Category A but in Category B. In addition, an heir with a disability rating of 67% or more may be granted a 10% reduction in the tax amount, subject to the conditions of the law and the required evidence.

The Special €400,000 Exemption — Who Does It Really Apply To?

Alongside the regular brackets, there is a special exemption of up to €400,000 per beneficiary for a spouse, a partner in a recognized civil union, and minor children. For a spouse, it is generally required that the marriage or civil union lasted at least five years.

Two points are important to get right:

• The special exemption does not automatically apply to an adult child, a grandchild, or a parent, even though they are in Category A.
• The €400,000 should not be mechanically added to the regular €150,000 zero-rate bracket. This is a special arrangement with adjusted tax brackets, so the calculation must be done according to the heir’s specific circumstances.

There is also a certain exemption for inheriting a “first home,” but eligibility is limited, among other things, to citizens of Greece, the European Union, and the European Economic Area, and is subject to additional conditions. An Israeli holding only Israeli citizenship does not benefit from the exemption merely because the property will serve as their first home. Someone holding an additional European citizenship should check individual eligibility.

Calculation Examples: How Much Will an Adult Child Pay?

The following examples assume an adult child in Category A, with no special exemption, no debts to deduct, and no prior inheritances to take into account. They are for illustration only.

For example, if an adult child inherits a net share worth €400,000: the first €150,000 is exempt; the next €150,000 is taxed at 1% — i.e., €1,500; and the remaining €100,000 is taxed at 5% — i.e., €5,000. The total estimated tax is €6,500.

Why Can Dividing the Inheritance Among Children Change the Outcome?

Suppose a debt-free property worth €600,000 passes to a single adult child. The estimated tax is €16,500. If the same value is divided equally among three adult children, each inherits €200,000 and pays, per the example above, €500 — a total of €1,500.

This does not mean splitting ownership is always the right choice. Considerations must include control over the asset, ability to sell, family relationships, a co-ownership agreement, financing, and registration costs. The example simply illustrates that Greek inheritance tax is calculated separately for each heir, not on the estate as a single unit.

What Value Is Used to Calculate the Tax?

Inheritance tax is not necessarily calculated based on the listing price on a real estate website or a family estimate. For real estate, the value rules set out in Greek law are used, and in many areas the tax authority’s “objective value” system applies. Property data, building rights, the age of the structure, location, ownership share, and rights such as full ownership or usufruct may be required.

Recognized debts of the deceased may be deducted from the value, proportionally among the heirs’ shares, if they are documented and meet the conditions of the law. It is therefore worth keeping loan agreements, bank confirmations, renovation invoices, purchase documents, and receipts for any material expense.

And What Happens in Israel?

Israel currently has no inheritance or estate tax, so simply receiving the home as an inheritance generally does not create an Israeli inheritance tax liability. However, “no inheritance tax” does not mean there are no future tax implications.

If the heir is an Israeli resident who rents out or sells the home, the income or capital gain may be examined in Israel as well, alongside the liability or reporting obligation in Greece, in accordance with the relevant law and treaty at the time of the transaction. As a rule, for an inheritance received after March 31, 1981, there is no automatic “reset” in Israel of the property’s cost basis to its value on the date of death. For capital gains tax purposes, the heir may step into the deceased’s shoes with respect to the acquisition date and historical cost, subject to the circumstances and applicable law.

The document file should therefore pass to the heirs along with the keys: the purchase contract, lawyer and notary fees, purchase tax, brokerage, improvements and upgrades, plans, permits, and any document that explains the cost basis. A document lost today could become an expensive tax bill in twenty years. For broader context, see also our guide on the legal and tax implications for Israeli investors in Greece.

Does the Israel–Greece Tax Treaty Prevent Double Inheritance Tax?

No. The Israel–Greece tax treaty deals with taxes on income, not inheritance tax. The Greek tax authority lists four dedicated treaties for the prevention of double inheritance tax — with the United States, Spain, Germany, and Italy — and Israel is not among them.

In the typical case of a home in Greece with an heir in Israel, there is currently no equivalent inheritance tax in Israel, so there is not necessarily double taxation upon receiving the home. However, future taxation of rental income or a sale is a separate matter that requires planning and reporting in both countries.

Is a Will Needed in Greece?

A will is not a condition for purchasing the home itself, but in most cases it is an important planning tool. Without a will, the estate is divided according to the rules of intestate succession. When there are assets, family members, or ties in two countries, the process may require recognition of foreign documents, official translation, an apostille, and a determination of the applicable law.

The European Succession Regulation 650/2012 provides, as a default, that the law applicable to the succession as a whole is generally the law of the deceased’s habitual residence at the time of death. It allows a person to explicitly choose, in a will, the law of their country of citizenship. An Israeli citizen may therefore, in appropriate cases, choose Israeli law as the law governing their succession.

But it is important to separate two questions:

1. Who inherits and what is their share? This is a question of succession law and the will.
2. How much tax does the heir pay on the home in Greece? This is a question of Greek tax. Choosing Israeli law does not cancel inheritance tax in Greece.

In practice, it is sometimes advisable to draft a coordinated Israeli will alongside a limited Greek will covering only assets in Greece. Both wills must be drafted together, with mutual non-revocation clauses and consistent wording, so that a later will in one country does not accidentally revoke the other. An online template should not be used without review by a lawyer in both countries.

An Important Change to Greek Inheritance Law Starting September 2026

Greece approved a broad reform of inheritance law in 2026 — Law 5303/2026. Key parts of the reform apply to the estates of those who pass away from September 16, 2026, onward. Among the matters the law changes: intestate succession, reserved shares for family members, heirs’ liability for debts, estate liquidation and settlement, relations between heirs, and succession agreements.

The reform does not, in itself, change the inheritance tax brackets detailed above, which are found in a separate tax code. It does, however, reinforce the need to review existing wills and succession plans before the effective date — especially in blended families, second relationships, cases involving children from previous marriages, or where the property is debt-financed.

What Does the Process of Inheriting a Home in Greece Look Like?

The exact process varies depending on whether a will exists, the place of death, the identity of the heirs, and the registration status of the property. In most cases it includes the following steps:

3. Appointing a lawyer and a local representative. An heir who is not a resident of Greece will generally need local support and sometimes an appropriate power of attorney.
4. A Greek tax number (AFM). Each heir needs a Greek tax number and access details or representation for reporting purposes.
5. Gathering documents. Death certificate, will if one exists, kinship documents, confirmations regarding publication of the will or its absence, apostille, and official translation as needed.
6. Filing the inheritance tax declaration. The declaration is filed with the Greek tax authority, in many cases through myPROPERTY.
7. Paying the tax or arranging installments. The tax can generally be paid in 12 equal bimonthly installments, with each installment no less than €500 except the last. Full payment by the first payment date may qualify for a 5% discount, if the tax amount exceeds €500 and the conditions are met.
8. Accepting the inheritance before a notary. An inheritance acceptance document is signed, after tax requirements and approvals are completed. A notarial document concerning the property may require an ENFIA certificate for the last five years.
9. Registering the rights. The Greek land registry or cadastre is updated, along with the heir’s E9 property declaration.

What Are the Deadlines for Filing an Inheritance Tax Declaration?

As a rule, the inheritance tax declaration must be filed within:

• Nine months if the death occurred in Greece;
• One year if the death occurred outside Greece, or if the heir resided outside Greece at the time of death.

For succession under a will, the period generally begins from the date the will is published; for intestate succession, from the date of death. There are exceptions and situations in which the tax liability is deferred, so the general count should not be relied upon when there is a dispute, a condition in the will, or difficulty locating assets.

Reporting to E9 is subject to a separate deadline, linked among other things to the end of the period during which the inheritance can be renounced. Failing to handle this in time may delay a future sale, rental, financing, or transfer of the property.

Is It Better to Transfer the Home to Children as a Gift During One’s Lifetime?

Not necessarily, but it is an alternative worth comparing. In Greece, Category A recipients — including children — have a zero-rate bracket of up to €800,000 for a transfer by gift or parental grant, above which a 10% rate applies, subject to conditions and the aggregation of prior transfers. When transferring money, it is critical that the transfer be carried out and documented through a financial institution.

The tax may look attractive compared to inheritance, but the decision is not purely mathematical. A lifetime transfer can result in loss of control, expose the property to the heir’s own risks, create friction between siblings, and add notary, registration, and advisory costs. In some cases, a bare-ownership transfer while retaining a right of use can be considered, but such a structure also requires pricing and legal review.

Should the Home Be Purchased Together With the Children, or Through a Company?

Joint purchase can reduce the portion that enters the estate when one owner passes away, since generally only the deceased’s actual share passes by inheritance. However, the ownership structure must reflect the actual agreements, source of funds, and documentation. It also creates a long-term partnership that must be managed.

Purchasing through a company is not an automatic “inheritance tax solution.” It may replace direct inheritance of real estate with inheritance of shares, but adds corporate tax, bookkeeping, reporting, maintenance costs, and even exposure to the special property tax applicable in Greece to certain entities. The right structure depends on the purpose of the asset, the scope of any rental activity, financing, and the family’s plan.

Seven Steps to Take Before Buying

• Decide who will be the registered owner and what ownership share each person will hold.
• Map out prospective heirs, citizenships, place of residence, and relationship status — including children from previous marriages.
• Compare future inheritance, a lifetime gift, and joint purchase — not just by tax rate.
• Draft a coordinated will between Israel and Greece and explicitly state the choice of law, if appropriate.
• Arrange a power of attorney and instructions for locating documents, accounts, keys, and professionals.
• Keep a complete cost file for the purchase and every improvement, both in Hebrew and in the original Greek documents.
• Review the plan again after a family change, a move abroad, a change of citizenship, or a legislative update.

Frequently Asked Questions About Inheritance Tax in Greece

Does Israel have inheritance tax on a home I received in Greece?

Israel currently has no inheritance or estate tax. However, rental income or gains from a future sale may be subject to reporting and tax in both Israel and Greece, and the deceased’s historical cost basis may be relevant to the calculation.

Does Israeli citizenship exempt someone from inheritance tax in Greece?

No. A home located in Greece is subject to Greek inheritance tax even when both the deceased and the heir are Israeli citizens and residents.

Does every child receive a €300,000 exemption?

No. For an adult child in Category A, the regular zero-rate bracket is up to €150,000, after which rates of 1%, 5%, and 10% apply. The special exemption of up to €400,000 is intended for a spouse, a partner in a recognized civil union, and minor children, subject to conditions.

Are grandparents considered first-degree relatives?

Not for the purposes of Greek inheritance tax brackets. Grandparents are classified in Category B, where tax rates are higher than in Category A.

Is an Israeli will valid in Greece?

It may be recognized, but using it in Greece may require proof procedures, an apostille, translation, and local publication or recognition. A Greek will limited to the local property sometimes simplifies the process, provided it is coordinated with the Israeli will.

Does choosing Israeli law in a will cancel the tax in Greece?

No. Choice of law mainly addresses who inherits and what their share is. It does not remove real estate in Greece from the scope of Greek inheritance tax.

Can inheritance tax be paid in installments?

As a rule, the tax is paid in 12 equal bimonthly installments, subject to a minimum of €500 per installment except the last. Full payment by the first due date may qualify for a 5% discount if the conditions are met.

Is it better to give the home to the children as a gift?

Sometimes the tax benefit of a lifetime transfer is significant, but there are costs, loss of control, and family and legal risks. The full outcome should be compared, not just the tax rate.

Bottom Line

For an Israeli buying a home in Greece, inheritance tax is not a reason to give up on the deal — but it is certainly a reason to plan it properly. In most families, the difference between an organized document file and a coordinated will, versus no planning at all, tends to surface precisely at the moment when family members have the least time to deal with bureaucracy in two countries.

Before purchasing, it is recommended to review the ownership structure and succession plan together. Greece Invests can assist with the initial planning of the transaction and connect you with qualified lawyers and tax advisors in Israel and Greece, so that the home suits not only the present but also the next generation.