Greece's Bold Tax Overhaul: Aiming to Rejuvenate Household Incomes
Greek Prime Minister Kyriakos Mitsotakis announces a 1.6 billion euro tax reform to support families, responding to a cost-of-living crisis and declining popularity. The reform provides tax breaks for households, especially those with children, and includes pension increases and real estate tax removal in remote areas.
In a strategic move to bolster household incomes, Greek Prime Minister Kyriakos Mitsotakis announced a sweeping tax reform valued at 1.6 billion euros. This initiative, primarily targeting families with children, serves as a response to both economic challenges and dwindling public support.
The tax reform, set to be implemented in 2026, includes deductions for all brackets, zero tax rates for specific low-income families, and increased pensions. These measures are viewed as essential for countering Greece's cost-of-living crisis, rising housing costs, and low birth rates.
The Mitsotakis administration aims to leverage strong economic growth and a substantial budget surplus to finance these changes. Despite the economy's revival post-2009-2018 debt crisis, Greece's heavy debt and lagging disposable incomes necessitate robust policy adjustments to balance growth benefits more effectively.
Google News