The new emergency debt settlement plan of up to 72 installments promises to provide liquidity relief to debtors with outstanding obligations to the tax authorities and social security funds. The scheme, whose provisions were first revealed by THEMA ten days ago, will remain under public consultation until June 15 on opengov.gr and is expected to become operational in late June or early July, provided it is passed in its current form.

The framework applies to certified debts that became overdue by December 31, 2023, and allows repayment over a period of up to six years.

The arrangement covers both tax debts and social security obligations owed to e-EFKA, KEAO, and other social insurance institutions. For social security debts, applications may be submitted electronically until December 31, 2026, through KEAO for debts registered there, while debts owed to the former NAT or other institutions with separate collection authority will be handled through the relevant institution.

How to Apply

Within about a month—after the bill introduced for public consultation by Minister of National Economy and Finance Kyriakos Pierrakakis is passed—a special option for the new emergency arrangement will appear in myAADE under “My Account > Debt Arrangements.”

Debtors will submit their applications electronically and choose the repayment duration themselves. A corresponding online platform will also be available for KEAO/e-EFKA debts.

At the time of application, debtors will see a detailed payment schedule and must be prepared to pay the first installment immediately (within three days), depending on the repayment period they select.

This is one of the most critical aspects of the process: the platform will not simply offer a predefined solution but will allow users to adjust the repayment duration and instantly calculate the resulting installment amount. Applicants will be able to compare smaller monthly payments over a longer period against higher payments with lower overall interest costs.

Step-by-Step Activation of the Arrangement

• The debtor submits an electronic application.

• The debtor selects a repayment period of up to 72 months and sees the corresponding installment amount.

• The first installment must be paid within three working days of the application (or by the end of the application month for social security debts).

• Applications may be submitted until December 31, 2026.

• Before applying, the debtor must have filed any outstanding income tax returns from the previous five years.

• Within one month of joining the tax arrangement, the debtor must pay or regulate any other overdue debts that arose after January 1, 2024.

• Throughout the duration of the arrangement, all future obligations (social contributions, ENFIA property tax, etc.) must also be paid on time or included in another arrangement.

Who Benefits

The need for an emergency arrangement was already evident from the data: by the end of 2025, nearly 4.8 million debtors owed €115 billion in overdue obligations to the State, yet only €3.44 billion—about 3% of the total—was under any repayment arrangement.

The key benefit of the 72-installment scheme is the reduction of monthly payments. Late-payment surcharges and penalties are canceled, although the principal debt and applicable interest rates remain unchanged.

For example:

• A principal debt of €7,200 is currently repaid at €600 per month over 12 installments or €300 over 24 installments, before interest. Under a 72-installment arrangement, the payment falls to €100 per month, reducing the monthly burden by €200–€500 compared with shorter plans.

• For a debt of €10,000, the principal amount corresponds to a monthly payment of €417 under the standard 24-installment plan, but only €139 under the 72-installment arrangement.

Another major benefit is the opportunity for a fresh start. Households and small businesses that lost previous arrangements and fell into financial difficulty can regain tax and insurance compliance, avoid enforcement measures, and suspend criminal proceedings as long as they comply with the new arrangement.

What Debtors Will Pay

The installments are not interest-free. Applicants should carefully choose the repayment period because longer repayment terms generate higher total interest costs.

• Tax debts carry an annual interest rate of 5.84%.

• Interest on customs and social security debts is calculated based on the European Central Bank rate.

However, the provision allows debtors to repay earlier—either directly or through offsets—without any early repayment penalty, thereby avoiding future interest charges.

Examples:

• A €10,000 debt repaid over 72 installments results in monthly payments of approximately €165, with a total repayment amount close to €11,900.

• A €30,000 debt results in monthly payments of approximately €495, while the total repayment amount reaches around €35,600.

The Fine Print

To prevent abuse, several restrictions apply:

• All eligible pre-2024 debts must be included; debtors cannot choose only part of their old debts.

• A minimum payment of €30 per month applies separately to AADE and KEAO. Consequently, debts below €2,160 qualify for fewer than 72 installments. For example, a debt of €1,200 may qualify for up to 40 installments.

• Taxpayers already complying with an active arrangement are not eligible. The scheme only covers debts outstanding up to December 31, 2023, that were not under regulation as of April 21, 2026.

• Individuals who have failed to file tax returns during the previous five years or who have final convictions for tax evasion or smuggling are excluded.

• Even after joining the arrangement, the State retains the right to register liens, carry out offsets against refunds or claims, and under certain conditions withhold tax clearance certificates for property transfers if the debt is not adequately secured.

When the Arrangement Is Lost

The arrangement is automatically canceled and the remaining debt becomes immediately payable if the debtor:

a) Fails to pay two consecutive installments or delays two installments by more than two months.

b) Fails to settle any other outstanding debts within the first month after joining the arrangement.

c) Fails to pay or regulate current obligations within three months during the life of the arrangement.

In such cases, the remaining debt becomes immediately due, and all enforcement measures are reinstated.