Like every year, the Treasury Technicians Union, Geetha, publishes 10 tips to save on the income statement, collecting the main ways of tax deduction on family health insurance.
The only novelty for this financial year is the increase in the income from work threshold to be exempt from declaration, which would rise to €14,000 if there is more than one payer. In any case, this limit in the common regime communities rises to 22,000 euros if there is only one payer (also if there are more payers who have not paid more than 1,500 euros in total)
1.- CONTRIBUTE UP TO €8,000 TO THE INSURED PENSION PLAN OR PENSION PLAN
The aging of the population and the reforms, past and future, regarding the amount and requirements to access a retirement pension mean that the concern of the Spanish for their economic security once they retire, is placed among the first positions according to the CIS .
The constitution of a guaranteed capital for our retirement has become a necessity and at this point in the year we can already be clear about what we have managed to save.
What better than being able to accumulate guaranteed capital through our PPA and also save on rent?
Although the maximum contribution is €8,000 or 30% of income from work and economic activities, we also have the possibility of contributing up to an additional €2,500 in favor of our spouse if he or she receives income below €8,000/ anus.
Calculate how much you can save by making a contribution HERE
2.- Apply the deduction for home purchase
If you bought your main home before January 1, 2013, you can continue to enjoy the right to relief, provided that you have made deductions for said home in 2012 or previous years.
The deduction of the fee will be up to 15% of the amounts invested with a limit of €9,040 , that is, if in 2019 you have paid a total of €6,000 as a mortgage, you can deduct €900 from your full fee. Under these conditions, it may be interesting to make an additional payment of €3,040 before the end of the year, obtaining a reduction in the tax bill of another €456.
3.- Neutralize the taxation of profits from the sale of a habitual residence
If you have sold your house in 2019, the profits obtained will be taxed in the next Income Tax Return, depending on their amount between 19% and 23%. This amount may be neutralized by totally or partially reinvesting the amount in another habitual residence .
4.- Over 65 years old – Exemptions
Profits obtained from the sale of the habitual residence by taxpayers over 65 years of age or by severely dependent or heavily dependent persons will be exempt.
The profits obtained by those over 65 years of age from the sale of any property will be exempt from taxation, as long as the total amount, up to a maximum limit of €240,000, is used to constitute a guaranteed life annuity within a period of six months.
5.- Compensate losses with profits
Investing in the stock market can bring both losses and gains . That is why now is a good time to make accounts and offset the losses generated by an investment fund, shares or financial derivatives with other capital gains obtained. It is important to know that the same or similar securities cannot be purchased within two months of the sale.
6.- Plan the sale of shares
Earnings from work below those indicated in Table 1 are not the only condition to take into account when thinking about whether or not we are obliged to declare, it is also required not to exceed the following limits in other income other than work :
- Comprehensive income from movable capital and capital gains subject to withholding, with a joint limit of €1,600 per year
- Real estate income from properties other than the main residence, yields from Treasury bills and subsidies for VPO or appraised price and non-exempt public aid, with the joint limit of €1,000 per year
- Property losses of less than €500.
Therefore, if you anticipate that your net income from work will be below the minimum required to declare, you must ensure that there are no other types of income, including capital gains from the sale of shares or income from real estate rentals, which require you to make the declaration with the possible associated cost.
7.- Reward solidarity
Your donations to NGOs, foundations or any entity covered by state or regional laws on patronage incentives are also deductible .
- The first €150 donated will have a 75% deduction (€112.5)
- The rest will enjoy a 30% deduction (35% if the amount donated to the same NGO has not decreased in the last three years).
- Do you donate goods? Capital gains generated are also exempt.
- Donations to other foundations and associations declared of public utility not covered by Law 49/2002 will deduct 10%
8.- Union dues
Union dues and expenses of up to €300 in legal defense against the employer, as well as mandatory dues to professional associations, are also entitled to deduction.
9.- Affiliation to political parties
Likewise, membership fees and contributions to political parties may bring some additional benefit, since they entail a deduction of 20% with a maximum of €120 to be deducted.
10.- Incentives for the “angels” of entrepreneurs
The tax reward for third-degree friends and relatives of the entrepreneur who wants to set up his own company will still be in force this year.
The Entrepreneurs Law in force since 2013 establishes that “business angels”, or people interested in contributing capital for the start of an activity by joining the shareholding, will be rewarded with a deduction of the state IRPF quota of 30% of the investment. done.
As a condition to be fulfilled, we find that the contribution must be made within the first three years from the constitution of the company, and the maximum base will be €60,000, in addition, the participation may not exceed 40% of the capital of the new company. whose own funds may not exceed €400,000.
