hjalmeida, Agencia Tributaria Maximum Euphoria After This From Hacienda: Many Already Celebrate about April
If you want the IRS to refund part of your expenses in the 2025 tax return, this is what you have to do
The Tax Agency has caused a wave of euphoria among taxpayers by announcing tax news that will positively impact the 2025 Income Tax Return. These measures, focused on deductions for donations and other expenses, promise to alleviate the tax burden for many citizens.
Hacienda has communicated that donators to non-profit organizations, such as NGOs, unions, and political parties, will be able to benefit from more attractive tax deductions. It is all taking place with the arrival of the upcoming 2025 Income Tax Return.
Deductions Applicable in the Next Return: Hacienda Brightens Your Day
This incentive seeks to promote solidarity and support for entities that play a crucial role in society. Taxpayers will be able to take advantage of various deductions in the 2025 Income Tax Return:
- Donations to NGOs and foundations: 80% can be deducted for the first 250 euros and 40% for the amount exceeding that sum. If in the previous two years donations equal to or greater than the same entity have been made, it increases to 45%.
- Contributions to unions and political parties: Membership fees to unions and donations to political parties will also be deductible. Although the specific percentages and limits will depend on the regulations in force at the time of the declaration.
Conditions and Amounts to Consider
It is essential for taxpayers to take into account the following conditions to maximize deductions. Although the deductions are attractive, there are limits on the applicable percentages on the taxable base. It is recommended to consult the specific regulations or seek advice from an expert to know the exact caps.
For donations to be deductible, it is essential to have a certificate issued by the recipient entity that certifies the donation made. The deductible contributions and expenses must have been made within the corresponding fiscal year (Jan 1–Dec 31 2024). That way they can be reflected in the 2025 Income Tax Return.
Key Dates to Keep in Mind
To ensure that all available deductions are taken advantage of, it is essential to pay attention to the following dates. April 2 marks the start of the 2025 Income Tax campaign and from that day, taxpayers can submit their returns and apply the corresponding deductions. June 30 is the deadline for submitting the Income Tax Return.
The satisfaction among taxpayers is palpable, as these measures from Hacienda offer a significant opportunity to reduce the tax burden and support charitable and social causes. It is recommended to plan ahead and keep a detailed record of all contributions and expenses made to maximize benefits in the next return.
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