How does the new agricultural diesel tax exemption work?
The new system eliminates the need for farmers to pay the Excise Duty (EFK) and the corresponding VAT at the moment of purchase, replacing the old reimbursement process with an immediate discount. Instead of paying the full price and waiting months for a state refund, producers will purchase fuel at a reduced rate directly at the gas station. This change is designed to boost liquidity for professional farmers by preventing capital from being tied up in fuel expenses.
The total tax relief per litre depends on the local VAT rate. In areas with a standard 24% VAT, the total exemption is 50.84 cents per litre, consisting of 41 cents from the Excise Duty and 9.84 cents from the proportional VAT. For example, a purchase of 1,000 litres will immediately save the producer 508.40 euros. In the Aegean islands, where the VAT is reduced to 17%, the total exemption reaches 47.97 cents per litre, resulting in a saving of 479.70 euros for every 1,000 litres purchased.
Comparing the old and new systems
Under the previous regime, farmers paid the full price including all taxes and then filed claims with the Independent Authority for Public Revenue (AADE) to receive a refund. This created significant cash flow challenges. From November 1, 2026, the taxes will not appear on the invoice at all. The transaction is handled digitally, ensuring that the price at the pump reflects the tax-exempt status in real-time.
What is the step-by-step process for using the myDiesel system?
The purchase process relies on a digital coupon featuring a unique QR code that must be scanned by the gas station attendant. To participate, farmers must use the myDiesel application or the myAADE digital portal to generate these coupons. The integration of this digital tool ensures that every transaction is recorded and automatically deducted from the farmer's annual entitlement.
The procedure follows these specific steps:
- Access: The farmer logs into the myDiesel platform using their TAXISnet credentials via the myAADE portal or the dedicated myDieselApp (available for iOS and Android).
- Generation: The user generates a digital coupon containing a QR code. This can be done on a smartphone, tablet, or by printing it from a computer.
- Transaction: At the fuel station, the attendant scans the QR code. The transaction is instantly linked to the sales document, which is issued without the Excise Duty and the related VAT.
- Tracking: The system automatically updates the farmer's remaining quota based on the quantity purchased, ensuring they stay within their legal limits.
It is important to note that for any fuel consumption occurring before October 31, 2026, the old reimbursement procedure remains in effect. These older transactions will be processed through the standard AADE refund cycles.
Who is eligible for the diesel tax exemption?
Eligibility for the tax-exempt diesel is not universal; it is strictly limited to professional farmers who meet three cumulative requirements. The system is designed to support active producers who are officially recognized within the national agricultural framework.
To qualify, a producer must satisfy the following criteria:
- Single Application: They must have submitted a Single Application for Support (EAE) through the Integrated Administration and Control System (OAD/ΟΣΔΕ) for either the 2025 or 2026 period.
- Official Registration: They must be registered in the Registry of Farmers and Agricultural Holdings.
- Professional Status: They must hold the official status of a professional farmer or a new entrant into the agricultural sector.
The amount of fuel eligible for exemption is not unlimited. A maximum annual quantity is assigned to each producer based on the data provided in their Single Application. The system monitors these limits in real-time during every transaction to prevent over-consumption beyond the legal entitlement.
How are fuel stations reimbursed for the tax difference?
Fuel stations face a unique administrative responsibility: they must sell the fuel at the reduced, tax-exempt price while having originally purchased their stock at the full taxed price. To ensure the viability of this system, the Independent Authority for Public Revenue (AADE) manages the reimbursement of the tax difference directly to the station owners.
The reimbursement process for retailers is characterized by several protective measures:
- Direct Transfers: The state returns the amount of tax not collected from the farmers directly to the station's account.
- High Frequency: Reimbursements are scheduled to occur frequently, typically two or three times per week (at least every Monday and Thursday).
- Protection of Funds: The law stipulates that these reimbursements are made in full, without any possibility of seizures, encumbrances, or offsets against the station's existing tax debts.
This mechanism ensures that gas stations do not suffer liquidity crises while acting as the intermediary for the state's tax relief program. For the system to function, every participating station must be registered in the myDiesel system and have updated their details in the AADE registry.
Frequently asked questions
Can I use the QR code from a printed paper?
Yes, the QR code is not restricted to mobile devices. Farmers can access their digital coupons through the myAADE portal on a computer and print them out to present at the fuel station. This provides flexibility for those who prefer not to use the mobile application.
What happens if I exceed my annual fuel quota?
The myDiesel system monitors your consumption in real-time. Once you reach the maximum annual quantity determined by your Single Application (EAE), the system will no longer allow the generation of tax-exempt coupons. Any subsequent purchases will be subject to the full tax rate.
Is the VAT reduction applied to the entire fuel price?
No, the VAT exemption applies only to the VAT portion that corresponds to the Excise Duty (EFK). It does not eliminate the entire VAT amount on the total fuel purchase, ensuring that the tax relief is strictly tied to the specific agricultural subsidy.
Does this system apply to all types of fuel?
The specific myDiesel QR code system is designed for agricultural diesel. While there are broader government subsidies for heating oil and gasoline to combat high international prices, the immediate QR-based tax exemption is a specialized mechanism for professional agricultural diesel consumption.
How do I know if my local gas station is participating?
Only stations that are officially registered in the myDiesel system and have updated their information with the AADE can scan the QR codes. It is advisable to check with local providers to ensure they are integrated into the new digital framework before attempting a purchase.
Key takeaways
- The new system provides an immediate discount of up to 50.84 cents per litre for professional farmers.
- Transactions require a digital QR code generated via the myDiesel app or myAADE portal.
- Eligibility requires being a registered professional farmer with a valid Single Application (EAE).
- Fuel stations receive state reimbursements for the tax difference at least twice weekly.
- The exemption covers the Excise Duty and the proportional VAT, not the entire fuel price.
Conclusion
The transition to the myDiesel QR code system represents a significant shift in how agricultural fuel is taxed in Greece. By moving from a retrospective refund model to a real-time price reduction, the government aims to provide much-needed liquidity to the agricultural sector. While the administrative requirements for both farmers and gas stations have increased through the need for digital integration, the long-term benefit is a more efficient, transparent, and immediate support mechanism. As the system rolls out from November 1, 2026, the success of this reform will depend on the seamless coordination between the AADE, fuel retailers, and the professional farming community.
