Government needs 200 million more to complete promised IRS tax cuts

The 2027 State Budget proposal includes a 550 million euro tax relief through updated tax brackets and specific deductions, which adds to the 400 million euro reduction in tax rates scheduled for this year—the latter of which will be voted on this Friday, October 9. The government also confirmed that salary increases up to 4.5% will remain tax-neutral, ensuring that workers' net income rises rather than being absorbed by higher taxes, and set the new minimum wage at 970 euros per month with an increased tax-free minimum threshold of 13,580 euros.