Reduction wearer For about 4 million taxpayers from 2026 brings the reduction of the tax rates announced on Saturday night (06.09.2025) to TIF Kyriakos Mitsotakiswith bigger families with children and young people up to 30 years old.
This is, as Kyriakos Mitsotakis pointed out, For permanent tax cuts and medium -income support measures, the largest tax reform of the transition. At the same time personal difference It is reduced by half in 2026 and is completely abolished in 2027, giving an additional benefit to 671,000 pensioners.
The wide package of tax relief aims to support families with children, and middle class, the treatment of demographic and desertion of remote areas. The Prime Minister stressed that Government strategy remains steadily oriented In permanent tax cuts and substantial interventions, instead of horizontal subsidies, to enhance growth and relieve households from precision.
Reductions of coefficients and incentives for families
Reduced by 2 percentage points all rates (except 9%). In the step of 10,000–20,000 euros The factor falls from 22% to 20% and is restricted further per child: 18% with one, 16% to two, 9% for triple, 0% for many children. In an annual income of 20,000 euros, the benefit is 600 euros with two children, 1,300 to three and 1,680 with four. The change concerns individual, not family income. A 39% intermediate rate is also established for incomes of 40,000–60,000 euros. The application to withholding begins on 01.2026.
Young people up to 30 years old
Is established zero tax for employees up to 25 years of age with income of up to 20,000 euros and a reduced rate of 9% (instead of 22%) until the completion of 30. Indicatively, in income of 15,000 euros to 25 years the annual benefit is EUR 1,283, EUR 20,000 euros 2,480 euros, while for ages 26–30 at 20,000 euros the benefit is 1,300 euros.
Pensions – personal difference
Personal difference is reduced by 50% in 2026 and is completely abolished in 2027, creating an additional benefit for 671,000 pensioners, in addition to tax cuts and annual pension adjustment.
Rental income
A 25% coefficient for the section of 12,000–24,000 euros is established (remains 15% to 12,000 euros) to break the jump to 35%. With the permanent “return of a rent” Each November is reinforced by the motives of real rent; With improved compliance, further reductions in real estate tax will be considered.
ENFIA and VAT in the Region
ENFIA for the first residence in villages under 1,500 inhabitants is reduced to half in 2026 and is abolished in 2027 as an incentive to reside and return a population. At the same time Dropted by 30% VAT on the islands below 20,000 inhabitants, Except for the five already in force, with extension to zones in the North Aegean, the Dodecanese and Evros.
Living presumptions
Restricted the presumption of residence and car. For 500,000 taxpayers. The favorable criteria for freelancers in settlements of up to 1,500 residents are expanded to reflect local conditions.
Roof with utilization of public land
Three former camps are granted (Moschato, Ziaka – Thessaloniki, Manousogiannaki – Patras) For the construction of 2,000 apartments: 25% will be allocated to Armed Forces executives and 75% to citizens without first residence.
Defense Investments and Vehicle Industry
The discount on the costs of investment in Greece in the areas of defense and construction of vehicles, up to 150m euros, is doubled to attract large projects to Coalition with European Guidelines for Common Security.
SMEs and financial tools
A national extroversion strategy is being implemented and a licensing bill for industry is promoted, while completing special spaties for industry and tourism. Actions of EUR 200 million are foreseen for extroversion, 780 million through TEPIH III for favorable loans, agricultural entrepreneurship fund from 2026, 50 million for medicine innovation. From the European Social Climate and Modernization Funds: 700 million for Energy Upgrading, 200 million to reduce energy costs in the industry and 300 million as a start for green ferry ships.