Greece’s Finance Ministry is preparing a new set of measures to tackle the country’s mounting overdue tax debts, aiming to clarify which debts can realistically be collected and to accelerate recovery efforts.
A special task force has been set up to examine the €110.87 billion in overdue liabilities recorded as of May 2025, and to separate collectible debts from those deemed unrecoverable. The plan is expected to be finalized by the end of the year and will include provisions for rapid asset seizures without the need for a court order, in cases where state revenue is considered at risk.
Asset Seizures Without Court Approval
Under the draft plan, authorities could move to block bank deposits, access safe deposit boxes, and seize property more swiftly. The measures will also redefine the personal liability of company executives, including CEOs and managers, for corporate debts to the state. Adjustments to seizure thresholds and debt limits are also under review.
Millions Already Face Enforcement
According to the Independent Authority for Public Revenue, 4 million taxpayers currently owe money to the state. Of these, 1.6 million are already under enforced collection measures such as bank account freezes or property auctions, while another 2.2 million face imminent risk. This means seven in ten debtors are either already subject to seizures or will soon be.
Opposition Criticism Over Rising Debt
At the same time, opposition party PASOK has accused the government of mismanagement, presenting figures that show private debt has ballooned by nearly €10 billion in the past 18 months, reaching €225 billion. The party also highlighted rising property auctions, with more than 12,000 carried out in 2024—double the number of the previous year—and nearly 5,000 scheduled each month in 2025.
Government Defends Record
The Finance Ministry responded by pointing to broader economic indicators, stressing that Greece’s private debt as a share of GDP has been falling since 2019, and that household debt has dropped significantly. Officials also cited progress in reducing non-performing loans in the banking sector and emphasized the growing number of successful debt restructuring agreements under the out-of-court settlement mechanism.
Billions Considered Uncollectible
Despite these reassurances, the scale of overdue obligations remains vast. Of the €110.87 billion in overdue tax debt, €84.45 billion is considered collectible, while €26.35 billion has been labeled unrecoverable. Roughly €42.5 billion of the total is owed by individuals, with €68.24 billion owed by companies—many of which have since collapsed or whose real owners are untraceable.
