The new tax bill, which includes the updated Customs Code and was released for public consultation by the Ministry of National Economy and Finance, brings significant changes for property owners (and not only them). From rent payments to short-term leases and property transfers, the bill introduces measures aimed at greater control, transparency, and improved data cross-checking.
Starting from the 2026 tax year, all rental income from leases or subleases of properties will be required to be paid via a bank account declared to the Independent Authority for Public Revenue (AADE). While bank payments aren’t new (since 2020, they’ve been mandatory for commercial leases for the expense to be tax-deductible), this requirement now extends to residential leases. The government believes this will make the market more transparent and accurately reflected.
The bill sets out penalties for those who ignore the banking payment requirement: landlords lose the right to deduct related expenses, tenants become ineligible for state housing benefits and tax relief linked to the property, and businesses will not be able to count the rent as a deductible business expense unless paid through the bank. Further details and exceptions will be specified through ministerial decisions.
Facilitations in property transfers
If an individual seeking tax clearance is jointly liable for a company’s debts, any debts of the company that are either settled or suspended won’t be taken into account — provided the individual didn’t own over 5% (or 0.5% for listed companies) in the last two years. If they did have such participation, clearance will require withholding up to 7% of the sale price, along with a security for the remaining debt. This measure aims to ease transfers for former shareholders or managers who have genuinely left a company, while still preventing asset transfers where debts remain unpaid.
Creation of a Property Ownership and Management Register (MIDA)
To ensure comprehensive and up-to-date records of property data, a new Property Ownership and Management Register (MIDA) will be established under AADE. This register will compile information on each property, ownership rights, leases, and usage, using data from E9 forms, the Land Registry, income tax returns, and other databases. It will be interoperable, linked with both public and private bodies, and owners will be obliged to submit or update details in line with AADE decisions.
Extra tax for short-term rental properties
The bill imposes a new burden on those renting properties through short-term rental platforms (Airbnb, Booking, etc.). For legal entities, every new property is now considered a business branch, subject to a professional fee of €600 (€300 for non-profits). Only properties operating for up to 30 days, spaces on different floors of the same building, or tourist accommodations in traditional buildings with a unified license are exempt.
It’s worth noting that the Supreme Administrative Court (StE) is still reviewing the appeal seeking annulment of directive E.2024/2024, which classifies short-term rental properties as business branches. The new legislation clearly aims to preempt any adverse ruling from that case.
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