Greek government cuts 83 taxes since 2019 – Complete breakdown

The government of Kyriakos Mitsotakis has implemented 83 reductions in taxes and contributions since the beginning of its term in 2019, following new tax cuts announced by the Prime Minister at the Thessaloniki International Fair (TIF) that will take effect from January 1, 2026, according to an announcement from the Ministry of National Economy and Finance. Among the new interventions, the following are included:

· The reduction and reform of the income tax scale for employees, pensioners, farmers and freelancers, with emphasis on families with children and the middle class.
· The introduction of an intermediate rate of 25% (from 35%) on rental income tax.
· The gradual abolition of property tax (ENFIA) in settlements with populations up to 1,500 residents (50% reduction in 2026 and complete abolition in 2027).
· The adjustment and rationalization of the living standards presumption system.
· A 30% reduction in VAT rates on the islands of the North Aegean Region, Evros Prefecture and Dodecanese islands with populations up to 20,000 residents.
· Income tax exemption for foundations and bequests.
· The establishment of tax-free library allowances for university faculty members and researchers.
· The abolition of subscription television fees.

25 of the 83 tax cuts concern indirect taxation

Of the 83 tax and contribution reductions, 25 concern indirect taxation. Among them is the reduction of the VAT rate on urban, suburban and land railway transport (to 13% from 24%), the reduction of VAT on baby products (13% from 24%), and suspension of VAT payment on new buildings.

The 83 tax cuts since 2019

The complete list of all tax reductions in recent years is as follows:

Tax and contribution reductions – Year of first implementation

1. Reform of the income tax scale for employees, pensioners, farmers and freelancers with emphasis on families with children, young people and the middle class – 2026
2. Introduction of intermediate rate in real estate income tax 25% from 35% – 2026
3. Gradual abolition of ENFIA for primary residences in settlements with population up to 1,500 residents, with 50% reduction in 2026 and abolition in 2027 – 2026
4. Adjustment and rationalization of living standards presumption system – 2026
5. 30% VAT reduction on North Aegean Region islands, Evros Prefecture and Dodecanese prefecture with population up to 20,000 residents – 2026
6. Establishment of tax-free library allowances for university faculty and researchers – 2026
7. Income tax exemption for foundations and bequests – 2026
8. Abolition of subscription television fee – 2026
9. For working pensioners, the calculation of the Pensioners’ Solidarity Contribution will be made without counting the pension increase due to the pensioner’s work – 2026
10. Reduction of social security contributions for overtime, night work and work on holidays or Sundays for full-time employees – 2025
11. Reduction from 15% to 5% of the tax rate on interest from listed corporate bonds – 2025
12. Reduction by one additional percentage point of social security contributions – 2025
13. Abolition of business license tax for freelancers – 2025
14. 20% ENFIA reduction for homes insured against natural disasters with taxable value up to €500,000 – 2025
15. Separate taxation of emergency duties for NHS doctors – 2025
16. Reduction of stamp duty on a series of transactions (corporate loan interest, building permits, loans, marriages, insurance contracts, etc.) – 2025
17. Incentives for innovation, mergers and acquisitions – 2025
18. Abolition of fixed telephony fee (5%) for fiber optic connections (≥100 mbps) – 2025
19. Exemption from insurance premium tax (15%) for health insurance contracts for children up to 18 years – 2025
20. Tax exemption for voluntary company benefits for new parents – 2025
21. Income tax exemption for vacant properties or short-term rental properties that will be rented for long-term lease – 2025
22. The Pensioners’ Solidarity Contribution was adjusted so that the threshold of each bracket increases annually proportionally to the annual percentage increase of pensions – 2025
23. Increase of tax-free amount by €1,000 for families with children – 2024
24. Abolition of the 30% reduction on pensions of employed pensioners – 2024
25. 10% ENFIA reduction for homes insured against natural disasters – 2024
26. 50% reduction of business license tax for freelancers – 2024
27. Greater tax reduction, from 40% to 100%, for building upgrade expenses made with electronic payment methods, which also include goods purchase expenses – 2024
28. Exemption from special ship tax for boats up to 7 meters – 2024
29. Abolition of Special Solidarity Contribution in the public sector and for pensioners – 2023
30. Abolition of special contribution 1% for the Public Employees Welfare Fund – 2023
31. Permanent and full exemption of former EKAS beneficiaries from their participation in pharmaceutical expenses – 2023
32. VAT reduction on agricultural machinery from 24% to 13% – 2023
33. Reduction of capital concentration tax rate from 0.5% to 0.2% – 2023
34. 50% reduction of stock exchange transaction tax – 2023
35. Abolition of tax on interest on government bonds – 2023
36. Permanent elimination of business license tax payment for farmers and coastal fishermen – 2023
37. Additional 13% average ENFIA reduction (cumulative reduction reached 34%) – 2022
38. Reduction of corporate income tax from 24% to 22% – 2022
39. VAT reduction on fertilizers from 13% to 6% – 2022
40. Refund of Special Consumption Tax on diesel fuel to farmers (permanently established with new system from 2025) – 2022
41. Reduction to 10% (from 12% to 20%) and abolition for young people up to 29 years of mobile telephony subscriber fee – 2022
42. Additional 0.5% reduction in private sector social security contributions – 2022
43. Establishment of super-deduction for green economy expenses – 2022
44. Tax incentives for business development through partnerships and corporate transformations with 30% income tax reduction for business transformation cases – 2022
45. Tax exemption for flight and diving allowances in Armed Forces and Security Corps, as well as special compensation for medical and nursing staff and ambulance crews for air medical transport – 2022
46. 30% deduction from taxable income for expenses made with electronic payment methods up to €5,000 annually, including home repair and maintenance services – 2022
47. Business owners and small companies that increase the average annual number of full-time employees are exempted from business license tax for that year – 2022
48. 50% income tax reduction for farmers who sell their products through cooperatives or contract farming – 2022
49. Favorable taxation of stock options provided to employees with preferential rates – 2022
50. Three percentage point reduction in private sector employee social security contributions – 2021
51. Abolition of Special Solidarity Contribution in the private sector – 2021
52. Reduction of income tax advance payment from 100% to 55% for individuals and from 100% to 80% for legal entities – 2021
53. Increase of super-deduction for R&D expenses from 30% to 100% – 2021
54. Abolition of parental gift tax for first-degree relatives, for gifts up to €800,000 – 2021
55. Reduction of capital concentration tax rate from 1% to 0.5% – 2021
56. VAT reduction on animal feed from 13% to 6% – 2021
57. VAT rate reduction on gyms and dance schools from 24% to 13% – 2021
58. VAT rate reduction on zoos from 24% to 13% – 2021
59. 50% tax exemption for “Business Angel” investments in startups – 2021
60. Permanent 30% VAT rate reduction on 5 Aegean islands (Lesvos, Chios, Samos, Kos and Leros) – 2021
61. Reform of personal income taxation with 9% introductory rate and increased tax-free amount per child – 2020
62. 0.9% reduction in social security contributions for full-time employees – 2020
63. Reduction of corporate income tax from 28% to 24% – 2020
64. Reduction of distributed profits taxation from 10% to 5% – 2020
65. Abolition of ENFIA on small and remote islands – 2020
66. VAT rate reduction on urban, suburban, land and railway transport from 24% to 13% – 2020
67. VAT rate reduction on maritime transport from 24% to 13% – 2020
68. VAT rate reduction on air transport from 24% to 13% – 2020
69. VAT rate reduction on taxis from 24% to 13% – 2020
70. VAT rate reduction on cinemas from 24% to 13% and then to 6% – 2020
71. VAT rate reduction on public health goods from 24% to 6% – 2020
72. VAT rate reduction on artworks from 24% to 13% and then to 6% – 2020
73. VAT rate reduction on coffee for takeaway and delivery from 24% to 13% – 2020
74. VAT rate reduction on non-alcoholic beverages for takeaway and delivery from 24% to 13% – 2020
75. VAT reduction on tourism packages – 2020
76. VAT reduction on baby products and helmets from 24% to 13% – 2020
77. Suspension of VAT payment on new buildings until 2026 – 2020
78. Suspension of real estate capital gains tax until 2026 – 2020
79. Tax incentives framework to attract new tax residents and investments in Greece (Non-Dom and Family Offices) – 2020
80. 40% tax reduction for building upgrade expenses made with electronic payments – 2020
81. 22% average ENFIA reduction – 2019
82. Luxury car tax exemption for families with many children – 2019
83. Special solidarity contribution exemption for disabled persons with 80%+ disability – 2019