Greece Clarifies Withholding Tax on Dividend Distributions of Taxpayers with both Taxable and Tax-Exempt Income

The Greek Public Revenue Authority has issued Circular 1012/2017 concerning withholding tax on dividend distributions of a taxpayer that derives income from both taxable and tax-exempt activities. According to the circular, because a taxpayer's net profit account, as approved at the annual general meeting, does not distinguish between the underlying income sources, the taxpayer should distinguish and allocate the profits between its taxable and tax-exempt activities and determine the correct…