Income Tax Campaign: Who needs to submit a Tax Return?
18 June 2012 @ 11:48
We are once again in the midst of the Income Tax Campaign for 2011, running from May 3rd to July 2nd. With only 2 weeks left to submit your returns, have you completed your tax draft?
Every year the Tax Agency estimates the amount of tax that you will be liable for based on the data relating to you that they have access to. In our experience many tax returns are filed incorrectly, and there are often changes needed to ensure that the right deductions have been represented. It is for this reason that we always recommend that you always have your draft tax return reviewed by a professional, as it is your best interests to file your taxes in an efficient manner. You may even be eligible for a full reimbursement of your taxes paid!
Who needs to apply?
All those who have applied for deductions for property investments, company savings accounts, double taxation benefits, social security mutual benefits, or reductions to the contribution base of pension plans or protected assets of disabled persons, are obliged to file a tax return even if they have earned less than €22.000,00 as a yearly income.
How to apply?
Taxpayers may apply for a copy of their tax return for individual Income Tax for the year 2011, from April 10th until July 2nd 2012; they then may confirm this draft from that date until July 2nd of the same year. The draft can be obtained online via the Tax Agency’s website (www.agenciatributaria.gob.es), although the Tax Office will post the draft to taxpayers whom have not applied for it online as of May 3rd, which is the official start date for the Income Tax Campaign in 2011. Any necessary amendments must be carried out prior to July 2nd, so with the deadline soon encroaching, time is of the essence!
If the results of your tax return infer that you are entitled to a reimbursement, you must confirm your account details no later than June 27th to receive them via a direct debit.
A few changes this year
- The maximum base for the deduction of investment in a primary residence in the cases of the purchase or rehabilitation of a primary residence has increased to €9.040,00. As it has done also for the amounts deposited in a home savings account.
- The base for installations and adequacy of a main residence on the grounds of disability has also increased to €12.080,00
- Main residence improvements will no longer be limited to the taxpayers primary residence and as such will have a larger group of potential beneficiaries due to its increased annual limit from €53.007,20 to €71.007,20
- There is an improvement on the amount deductible having been increased from 10% to 20% and increasing from €4.000,00 to €6.750,00 the maximum annual deduction base.
- Deductions for double taxation have been abolished on dividends pending application, as over 4 years has passed since the imposed limit in 2006.
- The deduction for the birth of a child or an adoption has been repealed as of January 1st 2011
It is highly recommended that you always have your draft tax return reviewed by a professional, as from experience we can guarantee you that many of them are filed incorrectly and as such do not represent the right deductions! We´d like to remind you that our team of specialized members remain at your disposal for any queries or representation in this matter so contact us today.
T: +34 952778899
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