2023-12-10 00:13:27
Taxpayers now have little time to reduce next year’s tax bill, but there is still room for maneuver. There are options through contributions to pension planslatent disabilities or deductions related to the living place.
The most obvious alternative is contributing to pension plans. For this reason, banks always launch a campaign in the final stretch of the year to raise money with bonuses up to 7%although experts advise choosing the product for its management and time horizon, and not for these gifts that can be poisoned by the commissions they have.
In any case, contributions to pension plans can be deduct from the taxable income in the following year, with a maximum of 1,500 euros. This limit, which can also be 30% of net earnings from work if this threshold is lower, has been lowered from the amount of 8,000 euros.
However, the deduction can increase by another 8,500 euros additional contributions in the workplace, through employment plans, as long as the employer also contributes. In this case, the worker’s contribution has the maximum result of multiplying the employer’s contribution by a coefficient, they explain in Abante.
Contributions to pension plans can be deducted from the taxable income in the following year
The coefficient is 2.5 for amounts equal to or less than 500 euros; 0.25 for the difference between the business contribution and 500 euros, if it is between 500 euros and 1,000 euros; and for one if it is more than 1,500 euros. Although if the worker has some income from work over 60,000 euros coming from the company, the coefficient will always be one.
In the case of the autonomousthey add in Abante, you can contribute 1,500 euros and complement savings with simplified employment pension plans, with additional contributions to them of up to 4,250 euros. The development of public promotion employment plans is still pending, and is expected in 2024.
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It is important understand the taxation of pension plans and not be guided only by the tax advantage of the contribution, since, when recovering the money, the penalty is greater than in other savings or investment products that are based on capital income, with ranges from 19% to 28%.
The money from the rescue of pension plans, both what is contributed and the profitability generated, is added to the taxable income base. Therefore, from a tax point of view, it makes more sense to rescue it periodically and not all at once. Only contributions made before December 31, 2006 have 40% tax reductions.
Compensate losses with gains
The other common route for investors or savers is offsetting capital gains with losses. Capital gains or losses accumulated during the year with the sale of funds, shares or real estate can be offset against each other. That is, if there are capital gains already realized, and there are doubts about an asset that is trading at a loss, it may be a good time to sell.
On the other hand, there are the returns generated, such as dividends, insurance redemption or bond coupons. These positive returns could be offset by negative returns, such as those generated by the sale of a bond. However, there is a 25% limit for cross compensation between returns and capital gains or losses.
In the case of taxpayers over 65 yearsthey remember in Abante, the capital gains They are exempt as long as they are constituted as a life annuity within a period of six months from the transfer, with a limit of 240,000 euros per holder.
You can also lighten the tax burden with donations made to foundations, “provided for in Law 49/2002,” they point out in Abante. The first 150 euros can be deducted in 80% of the payment, and 35% in the rest. Furthermore, they add in Abante, “if in the two immediately preceding tax periods we had made donations in favor of the same entity for an amount equal to or greater than that of the previous year, the percentage of deduction of the amount that exceeds 150 euros will be 40% “.
Capital gains of those over 65 years of age are exempt as long as they are constituted as a life annuity
For assets of more than three million euros traditionally affected by the Wealth tax and, from this year, for the temporary Tax of Solidarity for the Great Fortunes (IGF)which is paid especially in Madrid —where Patrimony has been 100% subsidized until now—, there are also movements to reduce the tax bill.
The most common thing is to choose to squeeze the joint limit or tax shield between Assets, now the IGF, and Income. The three installments cannot exceed 80% of the personal income tax tax base. Therefore, it is typical to look for structures in which income is reduced as much as possible with respect to accumulated assets. It is also usually bet on the family business exemptionas long as the taxpayer has more than 5% —or more than 20% in the case of the family group—, as well as investing in venture capital.
Deductions linked to housing
The housing can also help us reduce the tax bill. For example, if we buy our habitual home and we get a mortgage before January 1, 2013, we can deduct 15% of what we have contributed during the year, about a maximum of 9,040 eurosso the maximum deduction we could have is 1,356 euros.
Therefore, if the amount of our mortgage is less than those 9,040 euros and we do not have an early cancellation fee, we should assess whether we are interested amortize early part of the mortgage to reach that limit and be able to deduct on the maximum. In these cases, Those mortgaged have until December 31 to make extraordinary amortizations. Another important point: in the case of a married couple whose spouses file individual declarations, the deduction base will be 9,040 euros per declaration, that is, a total of 18,080 euros for the couple.
Taking into account the context of current interest ratesIs it worth paying off part of the loan? Abante explains that there are several existing options and it is advisable to choose the one that best suits each person, doing a prior planning exercise that encompasses vital and investment objectives to know which is the best formula. For example, if a person has 100,000 euros saved To amortize the mortgage, you must take into account the final opportunity cost. On the one hand, yes amortizes, saves interest; but, on the other hand, if you invested that amount in another product, perhaps you will obtain greater profitability. Another situation is if, for example, we are benefiting from the deduction: in that case, we would have to see if it would compensate more continue doing so or amortize.
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In the event that the taxpayer has a home and I want to rent ityou have to take into account that, starting next January 1, 2024, the percentage reduction applicable to the positive net return on real estate capital will be lower, since it will from the current 60% to 50%. Hence, it is advisable to sign the lease contract before the end of 2023, in order to continue applying the 60% reduction in the next year. statement of income. In order to enjoy these reductions, it is important to know that the rented home It has to be the habitual residence of the tenant.
On the other hand, the repairs made in a rental home, as well as the expenses allocated to its conservation, are deductible in the following four years, so the end of the year can be a good time to make these investments and enjoy their tax advantages already in 2024.
Finally, the money invested in improve energy efficiency of the home, whether habitual or rented, is deductible: 20%, 40%, and even up to 60%.
There are deductions for habitual residence, for rent or for energy efficiency improvements
1.- Deduction of up to 20% (up to a maximum of 5,000 euros), as long as there is a reduction in heating expenses by at least 7%.
2.- Deduction of up to 40% (up to a maximum of 7,500 euros), when there is an improvement in the energy rating to letters A or B or a decrease of at least 30% in non-renewable primary energy.
3.- Deduction of up to 60% of the amount of the energy rehabilitation works of buildings to all the owners of the community (up to a maximum of 5,000 euros; although they may be included, with the same limit, in the following four years, provided that the accumulated base of the deduction does not exceed 15,000 euros).
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