PwC simulations point to IRS refunds in 2027; November salaries see 50% withholding tax cut

The government has decreed that salaries paid between 1 November and 30 November 2026 will have withholding tax halved for earners above certain thresholds (starting from 20,000 euros for employees and 18,000 euros for pensioners). December salaries and Christmas subsidies paid in December will return to normal withholding rates. PwC simulations indicate most taxpayers will still receive IRS refunds in 2027, though annual adjustments depend on individual deductions.