Tax arrears in Greece have reached more than €110.8 billion (A$196.2 billion), according to To Vima, ProtoThema, and other media outlets citing official data from the Independent Authority for Public Revenue (AADE). The figures paint a picture of a growing fiscal challenge for both households and businesses.
From mid–2024 to mid–2025, unpaid taxes rose sharply, pushing the total of overdue obligations to €110.8 billion (A$196.2 billion). Of this, €26.35 billion (A$46.7 billion) is seen as uncollectible due to bankruptcies, deaths, or untraceable debtors. This leaves around €84.45 billion (A$149.5 billion) in active collectible debt.
Only a small fraction of that debt — about €3.62 billion (A$6.4 billion) — is currently under repayment arrangements, meaning the bulk of liabilities remain unpaid.
The debtor situation
The number of debtors continues to climb. According to reports, there are now over 4.24 million individuals and companies owing money to the state — an increase of roughly 470,000 in just part of the last year alone. Among them:
1,594,218 are under enforced collection measures such as asset seizures or bank account freezes.
2,230,160 face imminent risk of such measures.
Just 9,830 debtors hold over 70 per cent of the total debt, highlighting a concentration of liabilities among a small number of large defaulters.
Income tax arrears are a significant driver of this increase, with tens of thousands of taxpayers newly added to the debtor list each year.
Government measures and repayment plans
In response to the growing arrears crisis, the Ministry of National Economy and Finance has signalled a freeze on interest rates for repayment arrangements until March 2026. While precise figures for these rates vary across reports, most cite measures designed to make repayment more manageable, including:
Allowing both income tax and the Single Property Tax (ENFIA) to be included in instalment plans.
Offering repayment periods of up to 24 or 48 months depending on the type of debt (e.g., inheritance tax or customs–related debts).
Setting a minimum monthly repayment of €30 (A$53.23), with instalments due at the end of each month.
Officials say such measures aim to ease the burden on taxpayers while preventing further escalation of arrears.
Crackdown on big debtors
In a separate move, the AADE plans to publish a list of major defaulters (those owing over €150,000 / A$266,175) by June 30, 2025, giving them a window to settle their debts before their names are made public. This “name–and–shame” approach is intended to put pressure on high–value debtors and improve collection rates. The list will exclude debts already under regulation or legal suspension.
Balancing debt relief and growth
Alongside debt recovery measures, the Ministry of Finance is pursuing new legislation to bolster investment. From March 31, 2025, proposals include:
– Greater tax deductions for listing costs of small and medium–sized enterprises (SMEs).
– Expanded angel investor relief for investments in approved ventures.
– These measures aim to stimulate the capital market and create an environment more conducive to growth, while tackling the burden of overdue tax debts.
While the government seeks to balance relief and enforcement, economists warn the challenge remains immense. Tax arrears in Greece have been a long–standing issue, with much of the debt unlikely to be collected. The latest reports show that, without decisive action, overdue obligations could continue to grow, placing further strain on public finances.
