- The December 31, 2026 deadlines are four in number and stem from four different laws.
- Tax obligations for the period from 2020 to 2024 are exempt from penalties and interest only if the principal is paid in full by December 31, 2026.
- The 5% real estate revaluation accepts applications until December 31, 2026, not until September 30 as is mistakenly circulating.
- Businesses that have not yet acquired a POS terminal have until December 31, 2026.
- The fourth installment of the prepayment of the profit tax falls on the same date, and the delay costs 0.061% of the liability per day.
The first question every owner asks is whether these deadlines apply to them or not. The answer depends on the business profile, because none of the four applies to everyone. Two of them are opportunities that are lost if not taken advantage of, and two are obligations that remain even after the date.
Read also: POS mandatory for businesses, deadline December 31, 2026
| Liability maturing on December 31, 2026 | This touches |
|---|---|
| Payment of the principal for 2020–2024 tax obligations, which waives penalties and interest. | Any taxpayer with unpaid obligations for those years |
| Request for reassessment of real estate property with tax 5% | Individuals and legal entities with assets registered below market value |
| Equipment with a POS terminal | Businesses that do not fall under the three exceptions of the law |
| The fourth installment of the prepayment of income tax | Taxpayers who prepay income tax |
A natural person without VAT who works alone and at a single location is likely not subject to the POS requirement, because the law explicitly exempts them. If he does not prepay profit tax and has no outstanding liabilities, then under this list he may not have any deadlines, except for revaluation if he owns property.
A company with turnover above the VAT threshold usually has all four on the table. The prepayment installment and the POS are obligations, while paying off past dues and revaluation are decisions made based on December's liquidity.
A business that has assets on its balance sheet below market value treats revaluation as an year-end decision, not as a cadastral matter, so it is reviewed together with the financial statements.
Payment of past tax obligations
Tax obligations for the period from 2020 to 2024 are exempt from fines and late‐payment interest only if the principal is paid in full by December 31, 2026, pursuant to Law No. 86/2025 and Instruction No. 11/2026. After this date, the relief expires and the obligation returns in full, with fines and late fees.
This is the last day of a scheme that began at the start of the year and has involved several phases. Part of it has already expired, so it's worth distinguishing the time periods.
Which periods are covered and under what conditions?
Unpaid obligations as of December 31, 2014 have been automatically written off, including principal, penalties, and late fees, without any action by the taxpayer. Social security contributions are excluded from this write-off.
For the period from 2015 to 2019, the option with a 50% principal closed on June 30, 2026. Today, the option with a 75% remains, with the same expiration date, December 31, 2026.
For the period from 2020 to 2024, 100% of the principal is payable and penalties with late‐payment interest are waived. Entities under criminal investigation for tax offenses do not benefit from the scheme.
What happens if the payment goes through in January?
If payment is not made by December 31, 2026, the obligation is treated under the general rules. This means a penalty of up to 100% of the amount due and late interest of 7.8% per year, the rate in effect as of April 11, 2026, according to the official table of interest rates of the General Directorate of Taxes. The full figures are on our website. fines and late fees.
So the cost of inaction is not only the principal left unpaid, it's also the forgiven portion that comes back.
Reassessment of real estate with a 5% tax
The request for the reassessment of real estate property with tax 5% is accepted until December 31, 2026, pursuant to Article 1, paragraphs 1 and 6 of the Law No. 85/2025, dated December 12, 2025. The date September 30, 2026, which still appears on some websites, pertains to the draft bill phase and is not an effective date.
This clarification is of practical importance. Anyone who believes the wrong date thinks the deadline is closing this month, and anyone who misses September thinks they've lost the opportunity.
Read also: Practical Guide to Law No. 85/2025
How much does it cost and who does it?
The tax is 51 TP3T on the taxable base, that is, on the difference between the new value and the one previously recorded. In addition to the tax, the service fee of the State Land Registry Agency is paid, 3,500 lekë when the tax amounts to up to 150,000 lekë, 7,000 lekë when the tax is 150,001 to 300,000 lekë, and 10,000 lekë when the tax exceeds that amount.
The individual applies to the land registry. The legal entity follows a different procedure, related to the asset's book value on the balance sheet, so the decision is made together with the year-end closing. The step-by-step procedure is on our website. reassessment pursuant to Directive No. 5/2026.
Why the December application leaves little room
Submitting the request does not close the process. After that comes the invoice and payment, and only then is the reevaluation reflected in the cadastral records. Anyone who starts the procedure in the last days of December risks that the second step will fall into the next year, so the practical message is not that there's time, but that the deadline involves two steps and must be calculated in its entirety.
Equipment with a POS terminal
Businesses that have not yet acquired a POS terminal have until December 31, 2026, according to Article 59/3 of Law No. 9920/2008, as added by Law No. 79/2025 of December 11, 2025. Accommodation facilities, transport, and public institutions had the deadline on May 30, 2026, so that date has passed for them.
The obligation is part of the same package as the cash payment limits of 100,000 lekë between two businesses and 500,000 lekë between a business and an individual. Both rules are on our page. Cash and POS payment.
Who is exempt from the obligation?
The law provides for three exceptions. The first is areas without internet coverage. The second concerns entities exempt from the obligation to issue invoices. The third applies to a self-employed individual who works alone, is not registered for VAT, and operates from a single location.
The conditions of the third exception must all be met together. If even one of them fails to hold, the obligation returns.
Read also: Limits on cash payments and new rules for online businesses
What does the law provide if the deadline passes?
The verified text of Article 59(3) does not provide for a separate fine for failing to have a terminal. This does not mean the obligation does not exist; it means the specific sanction is expected to be set out in subordinate legislation, which has not yet been published.
Therefore, the correct wording is as follows. The obligation is in effect and the deadline is December 31, while the consequence of non-compliance will be determined later. We are monitoring this point and the article will be updated once the act is issued.
The fourth installment of the prepayment of income tax
The fourth installment of the prepayment of profit tax is due by December 31, pursuant to Article 63 of Law No. 29/2023. Unlike the other three deadlines, this one is repeated every year and is not a missed opportunity; it is a routine calendar obligation.
We include it here for a practical reason. It falls on the same day as the other three obligations, and December is the month when the business's liquidity is most strained. The full calculation rules are on our website. prepayments.
How much does a one-month delay cost?
Let's take a company with an annual profit tax of 1,200,000 lek. The quarterly installment amounts to 300,000 lek. If it is paid 30 days late, the late‐payment penalty is 0.061 TP3T of the obligation for each day, i.e., 180 lek per day and 5,400 lek per month.
The figures are rounded and serve only to illustrate the mechanism. The actual amount depends on the base-year tax and on the days of delay, while the late-payment interest is calculated separately from the penalty.
Read also: Sample formats for reviewing income tax installment payments
Which term should you start with?
The reasonable order starts with the one that's lost and won't come back. Paying off old obligations comes first, because after December 31 the forgiven portion reverts and the cost immediately increases. Second is the revaluation, because it involves two steps and takes time.
The POS comes third. It is an obligation that remains even after the date, so delay does not eliminate it but extends the risk. The prepayment installment is fourth because it is a known and planned action.
Anyone who has all four should review them together with the cash‐flow projection for November and December. This is exactly the work we do with clients at this time of year.
Every time there is a tax or financial change that affects your business, we notify you directly by email with a practical explanation.
Send me free notificationsFrequently asked questions
What are the deadlines of December 31, 2026 for a small business?
There are four, but they rarely all apply to the same business. Principal payment on 2020–2024 obligations, the request for a 51% property revaluation, the provision of a POS terminal, and the fourth installment of the advance payment of corporate income tax.
Is the property revaluation deadline being postponed?
As of today, there is no act extending it. Law No. 85/2025 sets the deadline at December 31, 2026, and to date no amendment has been published. The September 30 date circulating on some websites refers to the 2025 draft.
Do I lose the waiver of fines if I pay only part of the principal?
Yes. The condition of the plan is full payment of the principal within the term. A partial payment does not trigger the waiver of fines and late‐interest charges for the relevant period.
I work alone and I'm not VAT-registered. Do I need a POS?
You probably won't need it, but only if you meet all three exemption conditions. You must work alone, not be registered for VAT, and operate from a single location. If you open a second location, the obligation arises.
Is there a fine if I don't equip myself with a POS by December 31?
In the verified text of Article 59(3), no separate fine is provided for failure to comply. The sanction is expected to be determined by subordinate acts that have not yet been published. The obligation itself remains in effect.
If I don't make a profit this year, do I still have to pay the December installment?
Yes, because the prepayment is calculated on the tax for the base years, not on the results of the following year. When a business anticipates a significant decline, the proper course of action is to request a review of the installments, not to stop paying.
Which of the four should be solved first?
Payment of past due obligations, because it is the only one where a delay immediately increases the cost. After December 31, waived fines and late‐payment interest are reinstated on the obligation.
