Executive overview
Seasonal Sectors List for Foreign Workers:
The Government has adopted the new list of sectors where activities depend on seasonal patterns for the employment of foreign workers.
Legislative Updates
Seasonal Sectors List for Foreign Workers:
What is changing
During last week’s meeting, the Government approved a new list of sectors where activities depend on seasonal patterns, for the specific seasonal worker employment procedures. The list covers activities in agriculture, accommodation, food services and tourism-related recreation, using the updated CAEN Rev. 3 classification. This decision was already published in the Official Gazette.
Why this matters
Businesses in these sectors will need to check whether their activities fall within the listed CAEN classes when recruiting non-EU workers under the seasonal worker regime. The measure determines which activities qualify for the specific seasonal worker employment procedures.
PNRR Budget Reallocated and Reduced
What is changing
According to a new draft decision, the Government is set to replace the existing PNRR budget allocation and reduce the total envelope to €20.107 billion. Funding would be redistributed across reforms and investments, including programmes and financial instruments available to the private sector. The decision shall soon be adopted by the Executive.
Why this matters
Companies may be affected indirectly as the revised allocation changes the funding available for energy, digitalization, and private-sector financing schemes. PNRR beneficiaries should monitor changes to relevant calls, contracts and state-aid schemes, as available budgets and implementation arrangements may be adjusted.
VAT Refund Risk Checks Tightened
What is changing
ANAF has proposed new rules expanding the risk analysis for VAT refund claims and requiring a preliminary tax inspection for taxpayers identified as presenting certain refund risks. The changes also introduce specific rules for late VAT returns, taxpayers with cancelled VAT registrations and companies applying for their first refund after VAT registration or re-registration. The order is yet to be published in the Official Gazette.
Why this matters
Companies requesting VAT refunds may face additional checks and longer recovery times if they are classified as high-risk. Their refund will only be processed after the preliminary tax inspection, which may affect cash flow. The new rules would apply to VAT returns for August 2026 and Q3 2026, as well as certain refund claims already under review.
