On 2 October 2026, the Council of State (ΣτΕ) ruled that the 20‑year limitation period for the State’s right to impose tax assessments in cases of tax evasion (Article 36, paragraph 2 of Law 4174/2013) is unconstitutional. The Court held that the extended period violates the principles of legal certainty and proportionality under Articles 2 and 4 of the Greek Constitution. The decision applies retroactively to all pending cases where the 20‑year rule was invoked.
Key Takeaways
- Reversion to Standard Limitation: The standard 5‑year statute of limitations (Article 36, paragraph 1) now applies universally, even in evasion cases, unless a specific constitutional amendment is enacted.
- Impact on Pending Audits: Tax assessments issued under the 20‑year rule after the standard 5‑year period are void; affected taxpayers should file protective appeals immediately.
- Legislative Response Expected: The Ministry of Finance is drafting a constitutional amendment to reintroduce a longer, but proportionate, limitation period for serious fraud.
Disclaimer: This article is compiled and summarized by the AI based on publicly available information and is for general information purposes only. It does not constitute any form of formal tax advice, legal opinion, or basis for performance. Please consult a qualified professional tax advisor or legal counsel for tax advice.
Source: Read Official Announcement