The deadline for submitting 2025 income tax returns for employees and self-employed individuals has been set for October 31, following a decision by the Council of Ministers.
Extended Filing Window Amid System Enhancements
Individuals required to submit tax returns will have approximately four months to complete the process. Although authorities had initially planned to process 2025 tax returns through the Tax For All platform, ongoing system upgrades mean submissions will continue through TAXISnet. The arrangement follows delays linked to the tax reform that came into effect on January 1 and technical updates being implemented to the new system.
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Upcoming Availability And Filing Guidelines
The Tax Office is expected to publish the income declaration forms for wage earners and the self-employed within the coming month. Taxpayers earning over €19,500 annually are required to file, as the tax exemption threshold will adjust under the new reform measures. Late submissions beyond the October 31 deadline will incur a penalty of €100. The filing process, as detailed on the Tax Office website, remains consistent with prior years.
Changes On The Horizon For The 2026 Tax Year
Authorities are also preparing the framework for 2026 tax returns, which will incorporate measures included in the recent tax reform. The updated system will reflect revised tax brackets, changes to deductions and a higher tax-free threshold. Returns for the 2026 tax year will be submitted during 2027, with a filing deadline of July 31.
Revised Tax Brackets And Family Deductions
For 2026, several key adjustments will affect taxpayers:
- The tax exemption has been raised to €22,000.
- Income between €22,001 and €32,000 will be taxed at 20%.
- Income between €32,001 and €42,000 will face a 25% tax rate.
- For annual incomes between €42,001 and €72,000, the tax rate will be 30%.
- Incomes exceeding €72,000 will be taxed at 35%.
Personal deductions will now be determined by family status and income. For each dependent child or student, deductions will be €1,000 for the first child, €1,250 for the second, and €1,500 for additional children. Additional tax relief includes a €2,000 deduction for mortgage interest and rent for a primary residence, along with a €1,000 incentive for green investments related to primary residences and electric vehicle purchases.
Family income criteria will also influence eligibility for these benefits: households with one to two children must have annual incomes up to €100,000, those with three to four children up to €150,000, and families with five or more children up to €200,000. Additionally, starting next year, the obligation to file the income tax declaration will apply to taxpayers aged between 25 and 71.
This evolving tax landscape underscores the urgency for businesses and individuals alike to remain informed and proactive in their financial planning. As the system transitions to meet modern standards, clarity on these reforms will be key to compliance and strategic fiscal management.
