The clock is ticking inexorably and 30 June is the deadline for filing income and wealth tax returns (IRPF). Although this deadline is voluntary, it is an unavoidable tax obligation for all Spanish residents. But beware: even if you have already complied with this tax obligation, you still have the possibility to correct your tax return if you have forgotten income or deductions to which you were entitled.
If you file your tax return without prior advice or without checking the tax data reported by the tax office, you may make a mistake.
Correcting your tax return can be crucial if your tax result has been affected by the omission of income or deductions. In this case, there is still time to correct and adjust your figures to ensure fair tax treatment. If, on the other hand, you have underreported your tax liability, it is possible to correct this error and meet your tax obligations accurately and correctly.
Therefore, check carefully to see if you have made any of the most common errors, such as:
– Not declaring all sources of income such as earned income, rents, domestic and foreign pensions or income from economic activities. If you have received state or regional subsidies, you may have to pay tax on them.
– Ignorance of regional tax deductions, as there are many specific deductions in the Balearic Islands that allow you to reduce your personal income tax liability. It is essential to take advantage of these regional deductions, e.g. for the purchase of a main residence or for renting.
– Forgetting to declare assets and rights abroad: If you own assets or rights abroad that exceed certain thresholds, you must declare them. Failure to do so can lead to penalties and legal problems.
– Not checking the tax return before filing: Many taxpayers make simple mistakes, such as errors in personal details or in the amounts declared. It is important to thoroughly check the tax return before filing to avoid future problems and filing of subsequent returns.
If the error results in paying less than the actual amount due on the return, the tax authority may issue a new statement with different surcharges, and penalties may also be imposed if necessary.
Remember that the income tax return is an opportunity to assert your rights as a taxpayer and to take advantage of the tax deductions and reliefs that you can legitimately claim. Either by correcting a return already filed or by filing it for the first time.
If you have any doubts or need advice on tax matters, do not hesitate to contact us. A tax advisor specialising in the preparation of tax returns can help you to properly comply with your tax obligations.