Alpha News

Clarifications and Amendments to the Tax Reform

Published January 27, 2026, 19:18

The government is promoting changes and additions to the new tax regime to eliminate ambiguities and improve its implementation. A key point concerns tax deductions for loans, rent, and green purchases, where it is proposed that all children of a family be considered, provided there is one dependent child, and the children's income does not affect the family income. Additionally, an increase in the income limit for tax deductions for single individuals to €50,000 is being considered. There is a need for clarification regarding deductions for green investments, especially concerning expenses incurred after the completion of the investment (e.g., expenses for photovoltaics in 2026, while installed in 2025). The legislation must also clarify whether the deduction for interest on a mortgage covers the renovation of the primary residence. If the ambiguities cannot be resolved through circulars, technical corrections will be proposed through bills. The Tax Department assures that the non-submission of Form TF59 by the end of January will not result in the loss of deductions, as the necessary adjustments will be made. These changes aim to simplify and fairly apply the tax system, taking into account the needs of citizens and businesses.