In Greece, the tax system does not rely solely on the income taxpayers declare. Instead, it uses a system called “tekmiria” (τεκμήρια) — imputed income — to estimate what a taxpayer should be earning based on their assets and lifestyle.

If a taxpayer declares income lower than what would be expected given their standard of living (homes, vehicles, private school fees, etc.), the tax authorities can override the declared income and tax them based on this estimated minimum.

Originally designed to fight tax evasion, the system has often been criticized for penalizing freelancers, small business owners, and individuals during periods of financial difficulty.

As an example, a person who owns a large house and a car might be taxed as if they earned €30,000 per year, even if they only made €15,000.

Since the COVID-19 pandemic, Greece has tightened enforcement of these rules. But now, freelancers have the opportunity to challenge imputed income assessments — but the process demands full financial disclosure and formal auditing.

Challenging Greece’s Tax Assessment: What Freelancers Need to Know

Freelancers and self-employed professionals who believe they have been unfairly taxed under the imputed income system now have a clear path to contest it.

Greece’s Independent Authority for Public Revenue (AADE) has opened the myBusinessSupport platform, where professionals can submit requests to challenge the minimum annual income assessment until September 15, 2025.
For members of legal entities keeping simplified accounting books, the deadline is September 29, 2025.

Last year, around 4,600 professionals filed similar challenges and requested tax audits. Many are also awaiting a ruling from the Council of State (StE) regarding the legality of the imputed income system.

Two Ways to Dispute the Assessment

Freelancers can contest their imputed income through two main routes:

  • Objective Circumstances: If the taxpayer can prove reduced employment due to hospitalization, military service, or similar events, they can request that imputed income not apply, thus lowering their tax bill.
  • Income Lower Than Imputed Assessment: Taxpayers can claim their actual income was lower than the imputed figure. To do this, they must undergo a full tax audit, beginning with filling out a detailed financial questionnaire.

The questionnaire acts like a “means test,” requiring disclosure of: real estate, vehicles, bank deposits, stocks, bonds, cryptocurrencies, travel expenses, tuition fees, and even utility bills (electricity, water, telephone).

Step-by-Step Process

To begin the process of challenging imputed income, freelancers must first file their annual income tax return, at which point the imputed income amount will appear on their tax assessment. After filing, they must complete a detailed questionnaire about their assets and expenses via the myBusinessSupport platform. Only after this step can they submit a formal request for a tax audit.

The Independent Authority for Public Revenue (AADE) stresses that the questionnaire must be completed within 60 days of the income tax filing deadline. Failure to meet this deadline will forfeit the taxpayer’s right to dispute the imputed income.

Even if a challenge is filed, it is important to note that taxes based on the imputed income become due while the audit is pending. During the audit, the Tax Authority may reassess the taxpayer’s income based on any available information or use indirect audit methods. If discrepancies are found, the audit can be expanded to include earlier tax years or additional taxes.

The audit must be completed within 12 months of the audit order being issued. Once the audit is finalized, the tax bill may either be adjusted upward, if undeclared income is found, or downward if the taxpayer’s challenge is upheld.