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Andorimo, real estate and company formation in Andorra

Andorra vs Greece: full comparison (taxes, residency, daily life)

The short answer

Between Andorra and Greece, the clearest gap is taxation: Andorran IGI is 4.5 % against 24 % VAT in Greece, and corporate income tax is 10 % against 22 %. The advantage only holds if your Andorran residency is genuine; housing costs and the job market matter just as much.

The comparison at a glance

CriterionAndorraGreece
Consumption tax (standard rate)IGI: 4.5 %verified on 09/10/2026VAT: 24 %verified on 09/10/2026
Corporate income tax10 %verified on 09/10/202622 %verified on 09/10/2026
Personal income taxSingle rate of 10 %verified on 09/10/2026 after an exempt minimum of 24,000 €verified on 09/10/2026Top marginal rate: 44 %verified on 09/10/2026
Social contributionsCASS, total 22 %verified on 09/10/2026Depends on the national scheme
Tax residencyPresence of more than 183 daysverified on 09/10/2026Depends on national law

The Greek rates are national statutory rates (2026 edition, including the local share for income and companies). They do not take account of special regimes or social contributions.

Why compare Andorra and Greece

Greece appeals to retirees looking for sunshine, like Portugal. Against Andorra, the comparison is about favourable regimes and the cost of living.

Andorra attracts people first through its taxation: a single-rate income tax, a low corporate income tax and a consumption tax far below most European countries. But it is not just a matter of rates: settling there requires genuine residency, housing in a narrow market and adapting to life in the mountains.

Taxation in figures

On consumption. For €1,000 of purchases before tax, the tax is €45 in Andorra (general IGI) against €240 in Greece (VAT at the standard rate).

On companies. For €100,000 of profit, corporate income tax is €10,000 in Andorra against €22,000 in Greece at the combined statutory rate.

On income. Andorra applies a single rate after an exempt minimum, with a capped allowance: the effective tax is therefore much lower than the top rate in Greece. Simulate your own case below.

How Greece taxes its residents

Greece taxes its residents on a progressive scale and has introduced favourable regimes for certain foreign retirees who settle there, with a flat rate on foreign income for a given period, as well as a flat-rate regime for large investors.

What you need to become a resident in Andorra

Moving your residence to Andorra is not a simple relocation: you need a residence permit suited to your profile and a genuine presence, of at least 183 daysverified on 09/10/2026 a year to be a tax resident. For residency without gainful activity, the minimum investment is 1,000,000 €verified on 09/10/2026. See the overview of the statuses and the passive residency cost simulator.

Who should choose Greece, and who should choose Andorra

Choosing Greece suits those who want a Mediterranean climate, a moderate cost of living and, depending on their profile, a regime for foreign retirees.

Choosing Andorra suits those who prefer an Alpine setting and a simple regime with no time limit.

The pitfall to avoid

Simulate the gap for your situation

Enter your figures: the comparison tool calculates your Andorran tax and the gap with Greece on consumption and on a company's profits.

Andorra / Greece difference

€5,850

Estimated annual saving in Andorra (negative: more expensive)

Tax and contributions in Andorra on income
€6,700
Consumption tax: IGI 4.5% versus VAT 24%
€5,850
Corporate income tax: 10% versus 22%
€0

Statutory rates, excluding special regimes. Actual social contributions and cost of living are not modelled: have your case validated.

Compare with another country

What if you are French?

A French person who settles in Andorra remains subject to French connecting rules: a single criterion is enough to remain tax-domiciled in France. Test your situation with the tax domicile tool and read the treaty between France and Andorra.

Work out your own case

Free simulators, built on the official values of this page.

Frequently asked questions

Is Andorra taxed less than Greece?

On paper, yes: the general IGI is 4.5 % against 24 % VAT in Greece, and corporate income tax is 10 % against 22 %. The advantage depends on your genuine residency.

What is the top rate of income tax in Greece?

The top marginal rate in Greece is 44 %, local shares included and excluding social contributions. Andorra applies a single rate of 10 % after an exempt minimum.

Does Greece offer a regime for retirees?

Yes, subject to conditions and for a limited period. Check the version currently in force.

Which country is cheaper to live in?

It depends on housing and lifestyle: compare with your own expenses.

Do you have to leave Greece to benefit from Andorra?

Yes: to benefit from Andorran taxation, you must become an Andorran resident in fact, with a presence of more than 183 days a year and a genuine home, and take the financial year out of your former tax residence.

How can you simulate the gap between Andorra and Greece?

Use the comparison tool on this page: it calculates Andorran tax and the gap on consumption and profits, based on your own figures.

Going further

Official sources

This information is general and is not personalised legal, tax or financial advice. It is verified as of the date shown and may change.

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