The time for the TIF measures to be paid is approaching, with the increased support payment for pensioners in November putting the first money into people’s pockets, followed gradually by tax and contribution cuts throughout 2027. The timetable for payments and relief measures worth a total of €2 billion is set out in the bill that legislates the TIF measures and is expected to be passed in November.

Some measures will apply retroactively from January 1, 2026. The increased birth allowance covers families who have had a fourth or subsequent dependent child since the beginning of the year. Similarly, the tax reduction for professional farmers applies to profits earned this year, with approximately 47,000 eligible recipients set to save up to €2,900 on their 2027 tax returns.

From January 1, 2027, a new investment “savings pot” for children is scheduled to be introduced, with state contributions of up to €1,200 per year. In the same month, salaried employees with three children will begin to see lower income-tax withholding, as tax rates on the first €20,000 of income are reduced to zero.

During 2027, approximately 62,000 additional property owners in small settlements will be exempted from ENFIA, the annual property tax, on their primary residence. From April 1, the unemployment insurance contribution paid by employees will be reduced by half a percentage point, while on December 16 the €500 gross Christmas bonus for public-sector employees will be paid for the first time.

Pensioners: €400 in November

Approximately 2.2 million pensioners and beneficiaries from vulnerable groups will receive the annual support payment of €400 net by November 30. Those who were already receiving €300 will gain an additional €100 per year, while approximately 270,000 new beneficiaries will receive the full amount. For a couple in which both pensioners meet the eligibility requirements, the payment will total €800.

For old-age pensions, recipients must have turned 65 by the end of the previous year and must have received a main pension in September of the year in which the payment is made. There are no income or asset criteria. A special provision lowers the age threshold to 60 for people receiving a survivor’s pension who do not also receive a main old-age pension.

Higher birth allowance

The birth allowance is increasing from €3,500 to €4,500 for a fourth dependent child, €5,500 for a fifth child and €6,500 for a sixth child, benefiting approximately 2,500 families annually. For each subsequent child, a further €1,000 is added. The number of dependent children is counted after the birth.

The increase applies retroactively to births from January 1, 2026. Those who have already been paid will receive the difference by December 31, 2026, without submitting a new application. The difference will be paid in a lump sum to those who have received the entire allowance, or proportionally to those who have received only the first instalment.

The allowance is paid in two equal instalments. The amounts for the first, second and third child remain unchanged at €2,400, €2,700 and €3,000, respectively.

Up to €1,800 less tax for families with three children

Approximately 87,000 parents with three children, including 34,000 self-employed professionals, will pay less tax, as tax rates on the first €20,000 of income will be reduced to zero from the 2027 tax year.

Salaried employees will see the difference from January through lower tax withholding on their wages, while self-employed professionals will see it on their tax assessments in 2028. The relief applies separately to each parent, provided they have three dependent children.

Those declaring income above €20,000 will also benefit, because the first portion of their income will be exempt. The remaining income will be taxed at the rates applicable to each bracket, with a 20% rate applying to the portion between €20,000 and €30,000.

The children’s savings “pot” gets underway

The Individual Investment Account for Minors is scheduled to be introduced on January 1, 2027.

An application to open an account must be submitted to a provider by a parent or a person exercising parental responsibility or custody before the child turns two.

Parents, grandparents, godparents and other individuals may deposit money into the account, subject to a total limit of €10,000 in private contributions per calendar year. The state will contribute an amount equal to eligible contributions, up to €1,200 annually.

The state contribution will be paid monthly for contributions of up to €100 per month. If contributions vary from month to month, an annual reconciliation will be carried out. The maximum amount will increase by 10% every five years.

The money will be invested on behalf of the child and remain locked until the child turns 18, subject to specific exceptions, such as serious health reasons.

Increases in disability benefits

Disability benefits for approximately 218,000 beneficiaries will increase from January 1, 2027, by the same percentage as pensions.

The average annual gain is estimated at €220, with the amount varying according to the benefits each recipient receives.

The increase covers disability benefits paid by OPEKA, the extra-institutional allowance, the absolute-disability allowance for the specified categories of former OGA beneficiaries, and support for foster parents of people enrolled in disability welfare programmes.

Lower deductions from wages

From April 1, 2027, the unemployment insurance contribution paid by employees will be reduced from 1.20% to 0.70%.

The deduction will fall by €5 per payroll period for gross monthly earnings of €1,000, by €7.50 for earnings of €1,500, and by €10 for earnings of €2,000, before accounting for the effect on income tax.

Farmers to gain up to €2,900

Approximately 47,000 professional farmers will pay less tax on their 2027 tax returns, as tax rates on the first €20,000 of agricultural profits earned in 2026 will be reduced to zero.

To qualify, recipients must be professional farmers, with at least 50% of their income coming from agricultural activity.

The annual benefit depends on income and the number of children:

• No children and income of €15,000: a saving of €1,183.
• Two children and income of €20,000: a saving of €1,540.
• No children and income of €30,000: a saving of €2,900.

Which professionals will benefit from lower imputed income assessments?

Professionals who meet the requirements will have lower imputed income and pay less tax on their 2027 tax returns.

For income earned in 2026, the additional charges based on turnover and payroll will be abolished, as will the criterion based on the highest-paid employee’s salary. Approximately 156,000 sole proprietorships are currently subject to additional charges based on turnover or payroll.

To qualify for the exemption, businesses must have transmitted their data to myDATA, complied with the requirements for point-of-sale (POS) systems and their interconnection, submitted the required tax returns, and avoided the specified tax or labour-law violations during the preceding five years.

For example, at a café that has been operating for 15 years, employs five people and has an annual payroll of €105,000, imputed income falls from €27,244 to €16,744, reducing tax by €2,534. However, if the profits declared are higher, tax will be calculated on those actual declared profits.

At the same time, the 50% reduction in imputed income will be extended to professionals who both work and permanently reside in settlements with up to 2,000 inhabitants, or up to 2,200 in Western Macedonia, subject to the specified geographical exceptions.

For taxis, imputed income will be calculated according to the ownership share. Shares in multiple vehicles will be added together up to a total of 100%, while minors holding an operating licence will be exempt.

Lower advance tax payments for professionals

The advance income-tax payment for individuals engaged in business activity will be reduced from 55% to 50%.

The change applies to advance tax assessed with the tax return for the 2027 tax year and subsequent years, and will generally appear on tax assessments issued in 2028.

The tax relief for self-employed parents with three children, relating to their 2027 income, will also become visible that year.

Business levy abolished outside Attica

Companies filing their 2027 tax returns will no longer pay the business levy for registered offices and branches outside Attica, as well as in the Regional Unit of the Islands of Attica.

The exemption covers the 2026 tax year.

In the rest of Attica, the levy will be cut by half for the 2027 tax year and abolished from 2028. The reduction will therefore appear on tax returns filed in 2028, while the full exemption will appear on returns filed in 2029.

Tax relief for single-parent families

Approximately 14,000 single-parent families are expected to benefit from the provision concerning survivor’s pensions received by children.

From the 2026 tax year, this income will no longer be included when calculating the income threshold used to determine whether a child qualifies as a dependent.

As a result, a pension received following the loss of a parent will not deprive the surviving parent of tax relief for dependent children, provided the other eligibility requirements are met.

Tax-free tips of up to €6,000

The exemption limit for voluntary tips is changing from €300 per month to €6,000 per tax year, applying to income earned in 2026.

The annual limit particularly benefits seasonal workers, whose tips tend to be concentrated in a few months of the year.

The exemption applies to salaried employees who receive voluntary tips from customers, whether through their employer’s business or directly. A similar provision applies to delivery workers who collaborate with digital platforms under independent-services or project-based contracts.

Who will be exempt from ENFIA on their home?

The bill extends the exemption from ENFIA on primary residences to settlements with up to 2,000 inhabitants, or up to 2,200 in Western Macedonia.

A further 131 settlements and approximately 62,000 property owners will be included. Attica is excluded, except for the Regional Unit of the Islands of Attica.

The exemption applies to Greek tax residents and covers only their primary residence, as recorded in the Property Ownership and Management Register.

The taxable value of the entire home must not exceed €400,000. Holiday homes and other properties are not covered.

Tax deductions for electronic payments

The incentive for electronic payments to specified categories of professionals will be extended through 2027.

An amount equal to 30% of eligible expenses may be deducted from taxable income, up to €5,000 per year.

The provision allowing certain healthcare expenses to count double toward the required amount of electronic spending will also be extended.

This makes it easier to meet the spending threshold and reduces the risk of additional tax being imposed because of a shortfall in electronic receipts.

More time to qualify for property tax exemptions

The deadline for concluding eligible rental agreements that qualify for a three-year exemption from rental income tax will be extended to December 31, 2027.

The measure applies to homes that were vacant or are being transferred from short-term to long-term rental, provided they meet the requirements.

The exemption covers the first 36 months following the month in which the rental agreement is signed. The basic floor-area limit is 120 square metres, with an additional 20 square metres for each dependent child of the tenant beyond the first two.

A special provision permits leases of at least six consecutive months for specific categories of healthcare workers, educators and uniformed public-sector personnel.

For 2027, the following measures will also be extended:

• The suspension of VAT on newly built properties covered by the relevant scheme.
• The suspension of capital gains tax on property transfers.
• The tax incentive for expenditure on building upgrades.

For machinery and equipment acquired from 2027 onwards, depreciation will be spread over six years instead of ten. The expense can therefore be deducted from taxable profits more quickly, at rates of 10% in each of the first two years, 15% in each of the following two years, and 25% in each of the final two years.

Christmas bonus for public-sector employees

On December 16, 2027, a Christmas bonus will be paid for the first time to approximately 720,000 public-sector employees.

The gross amount of €500 is expected to translate into approximately €257 to €389 net, depending on age, income and the number of children.

The bonus will count toward pensionable earnings.

Employees who have been on the payroll for the entire period from December 1, 2026, through November 30, 2027, will be entitled to the full amount. Those who have worked for fewer months, part-time employees and hourly workers will receive a pro-rated payment.

The maximum remains €500 gross per eligible person, even if that person works in more than one position.

Who will pay more tax?

From January 1, 2027, the tax rate on remuneration paid out of company profits to board members, managers and employees will rise from 5% to 15%, but only on the portion exceeding €60,000 per year per beneficiary. The rate on the first €60,000 will remain at 5%.

From July 1, 2027, the property transfer tax will also rise to 15% for residential property buyers who are individuals with tax residence outside the European Union and the European Economic Area.