The Personal Income Tax and Wealth Tax campaign for the 2021 tax year began on 6 April.
As in previous years, the deadline for filing Personal Income Tax (IRPF) and Wealth Tax (IP) returns runs until 30 June. In the event that the tax returns are payable by direct debit, the deadline for filing will end on 27 June.
In all other cases, i.e. when the return is to be refunded, with a waiver of the refund or to be paid by direct debit, the filing deadline is 30 June.
It is important to remember that the obligation to declare, for taxpayers who obtain income from work, is set at 22,000 euros per year paid by a single payer, a limit that is reduced to 14,000 euros when the amount received by the second and subsequent payers exceeds 1,500 euros per year.
However, the receipt of income under other headings may entail the obligation to file a tax return, even if the limits indicated are respected. Some of the new items to be highlighted for this income tax campaign are as follows:
Income from cryptocurrencies
A new section has been introduced in the tax form, entitled balances in virtual currencies, in the section on other gains and losses deriving from the transfer of assets. In this new section, the information relating to the returns obtained, if applicable, must be entered for the purpose of calculating these gains or losses.
Deduction for energy efficiency works in the main residence or dwelling intended for renting
Those works that have been carried out to improve the energy efficiency of the main residence or rental property may benefit from deductions of between 20% and 60%, as detailed in the article on “…”new deductions in the IRPF quota to incentivise the energy rehabilitation of dwellings“.
Deductible expenses for the determination of the net yield derived from property capital yields
In 2021, doubtful debts owed by tenants more than three months old (previously six months) can be deducted from the net income from real estate capital.
Deduction for donations
The scale applicable during the 2021 tax period to the deduction for donations is increased by five percentage points, as follows:
|Deduction base||Deduction percentage|
|Up to 150.00||80,00%|
|Rest of deduction base||35,00%|
|Increased rate for repeated donations to the same entity||40,00%|
Special tax on prizes from certain lotteries and bets
The exempt amount of prizes for the 2021 tax year is 40,000 euros.
Deduction for contributions to pension plans
From 2021, the deduction for contributions to pension plans is reduced to a maximum of 2,000 euros (previously 8,000 euros), a limit of up to 8,000 euros if the increase comes from company contributions. The maximum contribution for spouses with income of less than 8,000 euros has also been limited to 1,000 euros (previously 2,500).
Increase in applicable rates
In accordance with the General State Budget for the financial year 2021, a sixth bracket has been added for income above 300,000 euros, corresponding to 47% taxation (or up to 50% in certain Autonomous Communities).
Likewise, in the savings tax base, a fourth bracket has also been added for income over 200,000 euros, which will be taxed at a rate of 26%.
As for Wealth Tax, the rate for taxpayers with assets exceeding 10 million euros was also increased for 2021.
Finally, it should be remembered that the positive amount of the personal income tax returns to be paid can be paid in two instalments, the first on 30 June, which amounts to 60% of the total amount, coinciding with the end of the income tax campaign, and the second on 7 November for the remaining 40% of the total amount to be paid.
The complexity of the returns -due to the reforms approved in recent years- makes it necessary to speed up the collection of all the data in order to carry out an exhaustive analysis of the casuistry of each return.