Starting next year, many property owners will pay lower taxes for income derived from their properties. But, starting in October, they will also be obliged to take rent payments through banks or miss out on tax breaks and any subsidies for improving their properties.
The new tax brackets for property-derived incomes are as follows: up to €12,000, 15%; from €12,001 to €24,000, 25%; from €24,001 to €36,000, 35%; and above €36,000, 45%.
The €12,001-€24,000 bracket is a new one; until now, a property owner whose income was above €12,000 and up to €36,000 was taxed 35%.
So, a property owner, with 2026 income of €15,000 will pay €2,550 instead of €2,850. If the income is €25,000, the tax will drop to €5,150 instead of €6,350.
And someone with a property-derived income of €40,000 will pay €10,800 in tax instead of €13,100.
