The Treasury has already set the calendar in which taxpayers must comply with their Personal Income Tax (IRPF) obligations. It will be this Wednesday, April 3, 2024 when the 2023 Income campaign begins in Spain, at which time taxpayers will be able to obtain the draft of their Income and confirm it online. To know if you have to pay the Tax Agency or if, on the contrary, the result is to be returned, you must look at whether the number of the result of the declaration is negative or positive.
Year after year, the Income Tax return generates many doubts among taxpayers, especially once the draft Personal Income Tax has been downloaded, corresponding to the 2022 financial year. As you reach this point, there are several questions that arise. They will ask: How do you know if the sale is to be returned or paid? What does it mean for the result to be positive or negative?
Well, in the case of the Renta campaign it is quite confusing. The positive sign is almost automatically related to favorable results, while the negative usually means that something bad is coming. However, this is not the case.
How do I know if I get my money back or if I have to pay?
If the result is positive, it means that the taxpayer must pay the Treasury, while negative results are the amounts that the Tax Agency owes the taxpayer. To understand it better, below are two examples.
Negative result in the Income Tax return: to be returned
Negative result in the Income Tax return
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If the result in the Income Tax return is negative, as in this case, it is a favor to the taxpayer. That is, it is being returned by the Tax Agency, or it means that you are owed the amount that appears in the draft. This happens when the person in question has paid more taxes than they have withheld more than was owed.
The payment of this amount that is returned to the taxpayer is made by bank transfer and the Treasury has a maximum period of six months from the end of the time to file the 2023 Income Tax return, that is, starting next July 1 of 2024.
Positive result in the Income Tax return: to be paid
If the result is positive, it means that the sales declaration is payable, since during the fiscal year, the withholdings have been lower than what would correspond to the taxpayer. Consequently, you must pay the import indicated by the Treasury.
Positive result in the income tax return
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The Tax Agency offers two options when it comes to settling debts:
Domiciliate the payment in full. Split the payment into two: contributing 60% of the taxes at the time we present the income tax return and the remaining 40%, in the first five days of the month of November. To use this method, you must indicate it in box 6, which is on the last page of the declaration. In addition, it must be noted whether or not the second payment is direct debited.
But what happens if you can’t make the payment? The taxpayer has the option of requesting payment deferral, although it carries a surcharge.
