Individual taxpayers will have to pay an additional 1 billion euros at least this year compared to 2024, with the largest part of this burden expected to be reflected in their 2025 tax returns.
The increases in incomes and in “invisible” measures – such as the non-indexation of the tax scale, as well as an automatic increase of the “presumed” income – are expected to take confirmed dues in tax returns above €5 billion for the first time in history. Another record for this year is set to be the rise of personal income tax to above €15 billion.
The Finance Ministry will seek to exploit these records – provided, of course, that they are confirmed in practice – so as to finance tax rate reductions starting in 2026.
The challenge for the government is to produce data which will be accepted by the European Commission and prove that the increase in revenues is not entirely the result of boosting incomes, but also of limiting tax evasion.
With value-added tax, the task of the ministry to convince the Commission of the effectiveness of measures to combat tax evasion is easier, as consumption is measured and compared with the rate of growth of VAT revenues.