In addition to gaining nine days for its presentation, this year's Declaration brings more news. Let's review the most interesting ones:

It is mandatory to submit it online

One of the big news (although it was already seen coming) is that the Government has established the Internet as the only channel through which the Income Tax Return must be submitted. Why have we given you the dates to do it by phone or in person? Because there are some exceptions such as, for example, having a disability, being of advanced age and not having the means to do it.

Exempt persons by income level 

The Personal Income Tax seeks to be fair, so if a person's income level does not exceed a certain threshold, they are exempt from submitting the Income Tax Return. Last year this limit was €15,120 gross per year, but in 2024 you do not have to do it if your total income is less than €15,876.

This is due to the increase in the Interprofessional Minimum Wage, which this year stands at €1,134 in 14 payments and which, if you multiply, you will see that it gives you exactly €15,875.

Keep in mind that this is the minimum and that the amount could increase if you have children or dependents in your care. In these cases, the exempt limit rises to €19,262 gross, €21 more than last year. Although this maximum only applies to people with two or more children and incomes of less than €1,500. But beware! All this may not work for you if you are self-employed. We explain below.

Self-employed

This group is one of those that has experienced the most novelties this year due to the distinctions of minimum fees and franchised VAT. In the specific case of the 2024 Income Tax Return they also have some notable changes.

The first is that ALL self-employed people are required to submit the Declaration, even if they do not reach the minimum income. The second is that those who pay taxes by direct estimation may consider up to €2,000 in deductible expenses that are difficult to justify, of which we can apply a 7% deduction. 

If you have pension plans, the limit to deduct in the case of the self-employed is €4,250. In addition to this, there are new specific requirements for those who carry out their activity in areas such as Navarra, the Basque Country, Aragon and Madrid. 

New deductions in this year's Declaration 

The favorite part for those of us who try to save a little. If you find yourself in any of these situations, know that you are in luck.

• Maternity: The amounts for this deduction are expanded, reaching up to €1,200. An additional €1,000 can be added to this amount for daycare expenses.

• Rehabilitation of properties: The deduction of up to 60% has been renewed for another year in the case of having updated a home.

• Electric vehicles: If we purchase a vehicle of this type in the second half of 2023 (specifically from June 30) we can benefit from up to a 15% deduction. It is important to note that both cars and motorcycles and charging points are included, as well as various engines that include different types of hybrids. This deduction will remain active this year, so remember it when it's time to file next year.

• Professionals with clients abroad: Those people whose clients are located in another country that already has a tax similar to personal income tax are exempt from paying taxes. Of course, as long as the annual income limit does not exceed €60,100 and none of the foreign countries in which you work are considered a tax haven.

• Self-employed workers with employees: Deductions of up to 10% of the contribution if contributions are allocated to corporate social prevention systems, as long as the income is less than €27,000.

• Donations to NGOs: The range of deductions for this type of contributions is expanded, which can reach up to 80%. Of course, always depending on the capital contributed.

• Donations to parties, unions or professional associations: Support for these types of institutions can now be deducted by 20% as long as the amount is equal to or less than €600.

• Pension plans: Here the biggest beneficiaries are the holders of corporate pension plans, since they will be able to deduct up to €8,500 (which is the annual total that is allowed to be contributed). In the case of personal pension plans, the limit is €1,500 or 30% of the income generated by work and economic activity, choosing, however, whichever has the lower amount of the two.

Cryptocurrencies 

As we already discussed when we talked about things you didn't know about the Declaration (and that we recommend you read to learn some tips), cryptocurrencies are no longer something foreign to the Tax Agency. In addition to having their own box within the Income Tax, investments of more than €50,000 in this type of assets that are listed in countries other than Spain (that is, almost all of them) will need to fill out the informative declaration on virtual currencies located abroad. (model 721). Failure to do so may result in a severe fine.

Reference: https://www.vivemasvidas.com/finanzas/gestiona-tu-dinero/novedades-declaracion-renta