Significant changes to the scale taxation incomeIt is expected to be announced by Prime Minister Kyriakos Mitsotakis at the Thessaloniki International Exhibition. The goal is to increase net income for at least 3.5 million citizens. Increases, in salaries and pensions, will appear on payments for January 2026, with significant support for taxpayers with children.
More specifically, the new income tax scale, which will concern employees, retirees, farmers and self -employed, will lead to permanent tax cuts. The benefit will be immediately visible with the payment of January 2026 wages and pensions, as bookings will be reduced, according to ERTNEWS.
More than 3.5 million taxpayers with incomes over 10,000 euros are expected to benefit, with the government particularly emphasizing the support of families with children and, even more so, of luxury. The package of measures will also include interventions in renting rents, as well as corrections in tax treatment of freelancers to reduce inequalities and strengthen tax justice.
“The reduction in direct taxes will be directly visible in the citizens’ pocket,” said government vice -president Kostis Hatzidakis, stressing that the burden of measures mainly concerns natural persons and their daily lives.
The content of the TIF package is expected to be finalized in the coming days, with the government aimed at a signal of economic breath to the middle class and families.
The final decisions have not yet been taken at the Maximus Mansion, but it is assumed that any reductions announced one goal will have to appear directly in the Greek pocket. And the measures will be targeted towards the middle class and the family.
“The fact that we have surpluses allows us to make a meaningful intervention. Until the economy can withstand and wherever European budgetary rules allow, ”government sources say.
Concerning the announcements for parents in general, Kyriakos Mitsotakis will devote much of his announcements to the TIF, to the support of the Greek family. It is predicted to support our fellow citizens who are large or lucrative or those in need.
With the government stressing that significant measures have already been taken to date and not only concern the allowance given for the birth of a child, but the allowance given to a new mother, equivalent to minimum wage for 9 months, as well as the support of new parents with seats.
New Tax Scale: Permanent tax cuts for 3.5-4 million citizens from January 2026
The radical reform of the income tax scale, which will be announced at the TIF, is a permanent measure with an extensive result, as it will concern almost all taxpayers in the country. The financial staff has worked out hundreds of scenarios for the new design, with the aim of increasing net disposable income and mainly boosting the middle class.
Permanent intervention in income taxation
The redesign of the scale is almost all taxpayers.
The aim is to increase net income and support the middle class while the benefit will be seen from January 2026, with reduced tax withholding in wages and pensions.
Beneficiary
Almost all of those who pay income tax.
More than 3.5-4 million taxpayers with incomes over 10,000 euros.
Middle class in the focus
Taxpayers will see the greatest benefit with incomes of 15,000–40,000 euros with the aim of limiting tax evasion incentive and boosting “good wages”.
Family support with children
Special prediction for greater relief in families. The intervention is linked to the treatment of the demographic crisis, as births are expected to fall below 65–70 thousand this year.
Interventions in rent tax
Tax cuts in rental income. Objective: To give incentives to open closed properties and an increase in bid on the housing market. The final decisions will be presented by the Prime Minister at the Thessaloniki International Exhibition.
2.4% increases in pensions in 2026 – on the table changes for personal difference
Pensioners’ support is high on the government’s agenda, which includes a rate of about 2.4%in 2026, as well as a decline in tax withholding.
Increases from 1 January 2026
The main pensions will increase by about 2.4%. The rate is based on 2.4% inflation forecasts and growth rate of 2.3% for 2025.
The finalization will take place at the end of September.
National and Rewarding Pension
The increase will concern both national and reciprocal pension.
Amenities associated with national pension are also affected.
The “thorn” of personal difference
About 650,000 pensioners do not receive a nominal increase due to personal difference.
The government is considering interventions to limit the number of those who are left out.
Scenarios predict offsetting part of the personal difference with new increases so that more can see real reinforcement.
Benefits and targeted support
In November 2025, a 250 euro allowance will be paid to low -income, uninsured elderly and people with disabilities.
Income and property criteria will remain unchanged.
Adjustment for pensioners employees
The new labor bill provides that pensioners who see increases will not rise to a higher solidarity levy.