Personal Income Tax in Greece in 2026: progressive rates up to 44%, deductions and special regimes

Personal income tax in Greece 2026: what changed and how much you pay

Let’s start with the essentials. Personal income tax in Greece is a progressive tax on the income of individuals: the more you earn, the higher the rate on the upper portion of your income. In 2026 an updated six-bracket scale applies - from 9% on the first ten thousand euros to 44% on income above sixty thousand. This is the result of the reform under Law 5246/2025, which took effect on 1 January 2026.

One thing to grasp right away: a progressive scale does not mean your entire income is taxed at the top rate. The 44% rate applies only to the portion of income that exceeds EUR 60,000 a year. The first ten thousand is always taxed at 9%, the next at 20%, and so on. As a result, the actual effective rate for most salaries is noticeably below the headline figure.

The key changes of 2026 to keep in mind:

• Almost all brackets were cut by 2 percentage points. The base rate of 9% stayed the same, while the middle brackets became lighter.
• A new 39% bracket was introduced on income of EUR 40,000-60,000 - previously 44% kicked in right here.
• The threshold for the top rate was raised from EUR 40,000 to EUR 60,000. This is the main gift to the middle class and skilled professionals.
• The solidarity contribution (special solidarity levy) has been abolished for salaries, pensions and private income - it used to add up to several percent on top.

In short: personal income tax in Greece in 2026 has become tangibly lower, especially for families with children, young people and those earning in the EUR 30,000-60,000 range. Below we break down each component in detail and give a precise table of rates.

Income tax rates in Greece: the 2026 “income-to-rate” table

Here is the very scale most people open this article for. These are Greece’s income tax rates for employment income, pensions and business income (salary, self-employment, business) in 2026. Remember the principle: the rate in each row applies only to income within that bracket, not to your entire income.

How this works in practice. Take an annual income of EUR 50,000. The tax is applied bracket by bracket: the first EUR 10,000 at 9% (EUR 900), the next EUR 10,000 at 20% (EUR 2,000), a further EUR 10,000 at 26% (EUR 2,600), then EUR 10,000 at 34% (EUR 3,400) and the last EUR 10,000 at 39% (EUR 3,900). That comes to about EUR 12,800 in income tax before any deductions and family reliefs - an effective rate of roughly 25.6%, not 39%, let alone 44%.

This is exactly why there is no single answer to “how much tax do people pay in Greece”: it all depends on the amount of income, the number of children, age and whether a special regime applies. But the scale itself is the framework from which every calculation starts.

Tax on salary in Greece: income tax plus EFKA contributions

When it comes to salary tax in Greece, it is important not to confuse two different things: income tax and social security contributions. These are two separate payments that together create the gap between gross and net pay.

The first is the income tax itself, on the progressive scale above. The employer withholds it from your salary each month as an advance, and at year-end everything is recalculated in the annual tax return.

The second is contributions to the Unified Social Security Fund (EFKA, Greek ΕΦΚΑ). Both the employee and the employer pay them. Roughly 13-14% of the salary is withheld from the employee and around a further 22% is paid by the employer. These contributions fund pensions, healthcare and benefits and have nothing to do with income tax, although they are deducted from the salary together with it.

Because of this, the real burden on a salary looks like this:

• Gross salary - the amount stated in the contract.
• Minus the employee’s EFKA contributions (about 13-14%).
• Minus income tax on the progressive scale, factoring in deductions and the number of children.
• Net total - what actually lands in your account.

The good news for 2026: after the abolition of the solidarity contribution and the cut in the brackets, net pay rose for most employees, especially in the middle income range. If you are planning to relocate and work in Greece, always add EFKA contributions to the income tax - otherwise your net calculation will be far too optimistic.

The 2026 reform: a new 39% bracket and the abolition of the solidarity contribution

The 2026 reform is not cosmetic but real relief for millions of taxpayers. According to estimates by Greece’s Ministry of Finance, the measures cover around 4 million people, while the budget will forgo some EUR 1.2 billion in 2026 and up to EUR 1.6 billion in 2027. Let’s look at exactly what changed.

Rates cut by 2 points. Every bracket except the base 9% was lowered by two percentage points. For example, brackets that used to be 22% and 28% are now 20% and 26%. On higher incomes this yields a noticeable annual saving.

The new 39% bracket. Previously the scale jumped straight from 37% to 44% at the EUR 40,000 mark. Now a 39% bracket has been inserted between them for the EUR 40,000-60,000 range. This softens the blow for the upper middle class.

The 44% threshold raised to EUR 60,000. The most noticeable change. Previously the top 44% rate began at just EUR 40,000 a year - now it starts only at EUR 60,000. Everyone earning within this “corridor” pays noticeably less in 2026.

Abolition of the solidarity contribution. The special solidarity levy, which used to be added on top of income tax on income above a certain threshold, has been abolished for salaries, pensions and private income. This simplifies the calculation and lowers the effective rate on high incomes.

If you are comparing old tables from the internet with the reality of 2026, do not trust undated material: the rates and thresholds really have changed, and outdated scales will mislead you. Current figures should always be checked on the official government portal gov.gr.

Reliefs for families with children and young people: lower rates, higher thresholds

A separate and very important part of the reform is targeted relief for families with children, young workers and residents of small communities. The logic here is simple: the more children you have, the lower the rate on middle incomes.

Families with children. The relief is especially pronounced in the EUR 10,000-20,000 range. In this bracket the rate falls depending on the number of children:

• one child - the rate drops to 18%;
• two children - to 16%;
• three children - to 9%;
• four or more children - to 0% in this bracket.

The tax-free allowance rises too. It is approximately EUR 8,600 for those without children, EUR 10,000 with one child, EUR 11,375 with two, EUR 14,364 with three and around EUR 27,100 with four children. In other words, a large family on an average income may end up paying no income tax at all.

Young people. Workers under 25 with income up to EUR 20,000 a year are fully exempt from income tax - a rate of 0%. For those aged 25-30, the rate on the lower brackets is cut to the entry-level 9% instead of the former 22%. This was done to keep young professionals in the country.

For a family considering a move to Greece, this changes the whole math: with two or three children the real tax burden on an average income can be several times lower than the headline figures of the scale suggest.

Resident or non-resident: which income is taxed

One of the key questions is whether Greece will tax all of your income or only what you earn in the country. The answer depends on tax residency.

A Greek tax resident pays income tax on worldwide income - both Greek and foreign. A resident is generally someone who spends more than 183 days a year in Greece or has their centre of vital interests here (family, main home, business). For a resident, the tax base includes salary earned in any country, dividends, interest, rental income from foreign property and so on.

A tax non-resident pays tax only on Greek-source income: salary from a Greek employer, income from renting out Greek property, profit from a Greek business. A non-resident’s foreign income is of no concern to Greece.

What this means in practice:

• Moving to Greece for permanent residence and staying more than 183 days automatically makes you a resident, with everything that entails - you will have to declare foreign income too.
• To avoid double taxation, Greece applies double tax treaties with dozens of countries - tax paid abroad is usually credited.
• It is precisely for high-net-worth individuals whose main income is abroad that the flat-tax special regimes were designed - more on them below.

If you plan to live in Greece long-term and legally, resident status is all but inevitable. We explain how to obtain a residence permit and structure your tax position in our article on Greek tax residency.

Which income is taxed and how: salary, rent, dividends

The 9-44% income tax scale is not the only regime. In Greece different types of income are taxed differently, and it is important to understand this so you don’t calculate the tax at the wrong rate.

Salary, pension, business and self-employment income - taxed on the main progressive 9-44% scale we covered above.

Rental income from property - a separate, gentler scale. In 2026 it runs roughly as follows: 15% on the first EUR 12,000, 25% on income of EUR 12,000-35,000 and 45% on amounts above EUR 35,000. The reform affected this scale too, easing the middle bracket.

Dividends - taxed at a flat rate of around 5%.

Interest on deposits - around 15%.

Capital gains (sale of assets) - generally 15%, with a number of exceptions and temporary reliefs.

It is also worth keeping property-related taxes in mind: the annual ENFIA ownership tax, as well as the transfer tax on purchase (roughly 3.09% of the value). These have nothing to do with income tax but are part of the overall cost picture. If you are considering buying a home and relocating, it is easier to look at the entire tax system as a whole - our guide is devoted to exactly that: taxes in Greece.

Deductions and the tax-free allowance: how to reduce your tax legally

Your effective tax rate depends not only on the scale but also on deductions and the tax-free allowance. In Greece the system works through a tax credit (a reduction of the calculated tax) rather than the classic deductions from the tax base familiar in some countries.

The main mechanisms for reducing tax:

• The tax-free allowance via a tax credit. Employees and pensioners receive a basic credit that effectively exempts income up to about EUR 8,600 (for those without children) and increases with the number of children - up to around EUR 27,100 for a family with four children.
• Electronic payments. To claim the full tax-free allowance, you must prove that a certain share of your annual income was spent cashlessly (by card or transfer). This is intended to combat the shadow economy.
• Medical and charitable expenses - part of such costs qualifies for a tax credit.
• EFKA contributions to social security are deducted from the tax base for the self-employed and business owners.
• Family reliefs - the reduced rates and higher tax-free allowance for those with children, discussed above.

A practical tip: keep your receipts and pay cashlessly - in Greece this directly affects the size of your tax-free allowance. And if your income is mostly foreign and substantial, far greater savings come not from deductions but from the special tax regimes we turn to next.

Common mistakes in calculating tax in Greece

In our practice we see the same misconceptions again and again, which lead people either to overpay or to get an unpleasant surprise at their first tax return. Let’s go through the main ones.

• Taxing all income at the top rate. The 44% rate applies only to the portion of income above EUR 60,000, not to the whole amount. The real effective rate is almost always lower.
• Forgetting about EFKA contributions. Social contributions are a separate payment on top of income tax. Calculating net pay from the scale alone gives an inflated result.
• Relying on outdated tables. Before 2026 the top rate began at EUR 40,000 and the solidarity contribution was in force. Old scales from the internet are misleading.
• Ignoring worldwide income. Once you become a resident, you must declare foreign income too. Many people learn this too late.
• Being late with a special regime. Entering the non-dom or 7% regime is only possible within the set deadlines when transferring residency. Retroactively - it cannot be done.

Personal income tax in Greece is a topic where the cost of a mistake is measured not in percentages but in years of overpayment. The earlier the strategy is built, the less you will hand over to the state - entirely within the law.

An expert’s view: how not to overpay tax in Greece

The main piece of advice I give clients: don’t treat the figure of 44% as a sentence. After the 2026 reform, Greece has become genuinely tax-friendly for the middle class and families, and for high-net-worth individuals there are special regimes that make the burden predictable. You always have to run the numbers on the specific figures: for one person the ordinary scale with family reliefs is best, for another the flat EUR 100,000 a year, and for a third - a pensioner - the 7% regime on all foreign income. People usually go wrong not on the rate itself but on timing and status: they move, become residents, and only then remember about taxes, when the window to enter a favourable regime has already closed. That is why we build the tax model before the move, in step with obtaining the residence permit and the tax number. Then you pay exactly what the law requires - and not a euro more.

The bottom line: how much tax people really pay in Greece

Let’s wrap up. Personal income tax in Greece in 2026 is progressive - six brackets from 9% to 44%, with the top rate paid only on income above EUR 60,000. After the reform, rates were cut, a 39% bracket was added and the solidarity contribution was abolished - as a result, the tax burden on salaries and pensions has fallen noticeably, especially for families with children and young people.

What is important to keep in mind:

• The real effective rate for most incomes is around 20-30%, not 44%.
• EFKA social security contributions are always added on top of income tax.
• A resident pays on worldwide income, a non-resident - only on Greek-source income.
• For large foreign income, special regimes are more advantageous: a flat EUR 100,000, 7% for pensioners or a 50% relief for new professionals.

Greece is a full member of the EU and the Schengen Area with a clear and, after the reform, moderate tax system. For those planning to relocate, the key to saving is to build a tax strategy in advance and in step with obtaining a residence permit. It is convenient to compare and check the details in our guides on taxes in Greece and tax residency, with official data on the portal of gov.gr.

Special regimes for the wealthy: a flat tax of EUR 100,000 a year

For high-net-worth individuals with large foreign income, the ordinary progressive scale is unattractive: 44% on worldwide income is a lot. This is why Greece offers the non-dom special regime (under Article 5A of the Tax Code) - a flat tax instead of a percentage rate.

How it works:

• A flat payment of EUR 100,000 a year settles all tax liabilities on any foreign income - regardless of whether you earned one million or ten million abroad.
• The regime applies for up to 15 years.
• For each family member an additional EUR 20,000 a year.
• Entry condition: you were not a Greek tax resident for 7 of the last 8 years and undertake to invest at least EUR 500,000 in Greek real estate, business or securities within three years.

This is a direct counterpart to the Italian and Cypriot flat tax. For an entrepreneur with large passive income abroad, a fixed EUR 100,000 a year can be several times less than tax on the progressive scale. Greek income, meanwhile, is taxed in the ordinary way. A detailed breakdown of the conditions, advantages and pitfalls is in our article on the non-dom regime in Greece.

7% for pensioners, a 50% relief for new professionals

Besides the flat tax for large fortunes, Greece offers two more attractive special regimes - for foreign pensioners and for new workers.

The 7% regime for pensioners (Article 5B). A foreign pensioner who transfers tax residency to Greece pays just 7% on all of their foreign income - not only the pension, but also dividends, interest and rent abroad. The conditions: you were not a Greek tax resident for at least 5 of the last 6 years and receive a pension from a country that has an administrative cooperation agreement with Greece. The regime applies for up to 15 years. For a pensioner from abroad with an average pension, this is often more advantageous than the ordinary scale and noticeably simpler than the flat tax. Details are in our overview of the 7% tax regime for pensioners.

The 50% relief for new resident professionals (Article 5C). If you move to Greece to work (as an employee or by starting a business here) and were not previously a resident, half of your Greek employment or business income is exempt from tax for up to 7 years. In effect, you pay income tax on only 50% of what you earn in Greece. This is a window for skilled professionals and relocators who actually work in the country rather than live on foreign income.

All three regimes - EUR 100,000, 7% and the 50% relief - are in force in 2026. Which one is right for you depends on the structure of your income: large passive capital, a pension or active work in Greece.

Which is better: the ordinary scale or a special regime

The key practical question for those relocating: pay on the ordinary progressive scale or opt into a special regime. There is no universal answer, but there is a clear logic to the choice.

Let’s summarize the options in a reference table.

A rough rule: if you earn your main income in Greece and it isn’t sky-high, the ordinary scale after the 2026 reform is quite comfortable, especially with children. But if you have large income outside Greece - passive capital, a business abroad or a foreign pension - one of the special regimes is almost certainly more advantageous. The exact calculation is always individual: you need to run both models on your own figures and factor in the investment requirement for the non-dom regime.

Income tax and relocation: how it all fits together in practice

Income tax does not exist in a vacuum - it is part of the bigger relocation picture. For tax reliefs to actually work, you need legal resident status, an AFM tax number and the right regime chosen from the very start.

How this usually comes together in practice:

• First - a basis for living in the country. That is a residence permit: by investment (Golden Visa), for financially independent people with passive income, for digital nomads, or a work permit. Without legal status you cannot establish tax residency.
• Then - an AFM tax number and registration with the Greek tax authorities.
• In parallel - choosing a regime. If your income is large and foreign, the application for the non-dom or 7% regime is filed within the set deadlines as soon as you transfer residency - you cannot enter a regime retroactively.
• Then - the annual tax return and payment of tax under the chosen model.

The most common mistake is to move and become a resident first and only then deal with taxes. By that point the window to enter a favourable special regime for that year may have closed, and the person pays on the full progressive scale on worldwide income. That is why the tax strategy is built before the move, not after. If your goal is to stay in Greece for the long term, it makes sense to look right away at a residence permit by investment as the legal foundation of the whole structure.