The new income tax law exempts large families with four or more children and an annual income of between €0 and €20,000 per parent from paying this tax
Greece has been for years in the 4th worst place among the OECD member states regarding income tax for families with children.
This situation has created over the years of fiscal adjustment, financial suffocation conditions for families with children and especially for large families. ASPE, the Supreme Confederation of large families in Greece, has been asking for a family friendly income tax policy as a minimum requirement for creating an impediment to the demographic collapse of the country.
Fortunately, the Government considered positively our proposals and voted a new income tax law that zeros the income tax for large families with four or more children for annual income of 0 to 20.000 euros, for each of the parents. Moreover, all the tax rates applicable to annual income amounts up to 30.000 euros have been reduced proportionally to the number of the dependent children.
The next two slides illustrate the situation:
| Income range | For all persons | New income tax rates for persons with 4+ dependent children | |
| 2026 | 2026 | 2025 | |
| < €10.000 | 9% | 0% for 4+ children | 9% |
| € 10.000 – € 20.000 | 20% | 18% for 3 ch. 16% for 2 ch. 9% for 1 ch. 0% for 4+ ch. | 22% |
| € 20.000 – € 30.000 | 26% | -2% for each child | 28% |
| € 30.000 – € 40.000 | 24% | 24% | 36% |
| € 40.000 – € 60.000 | 39% | 39% | 44% |
| € 60.000+ | 44% | 44% | 44% |
The new law is a great improvement over the previous situation and is moving to the correct direction. However, we will continue to ask for tax reduction proportionally to the number of children for all income ranges, not only for those incomes up to 30.000 euros. After all, an annual income of € 60.000 is a big or a small one? It depends who is earning it. If it is earned by a parent of, let’s say, four children, then we talk about 10.000 euros per capita (60.000 / (2 parents + 4 children)) per annum, which is certainly not a huge amount of money! Taxation per capita for parents with children is our constant request.
Moreover, ASPE is asking for property tax to be based on the housing needs of the family, not only on the surface of the house. It is obvious that a person without children cannot pay the same property tax for the same house with a parent of children, even more, a large family parent!
Concluding, the new taxation law is heading to the right direction, but several steps need to be taken further so that taxation does not discriminate against large families and create conditions that may lead to their poverty and social exclusion.