Taxpayers with assets in tax havens or with income from capital from national entities, subject to exemption rates, normally 28%, will only have to report this type of gains in the 2025 IRS declaration, even though the rule was approved in the Budget of State for this year, an official source from the Tax Authority (AT) explained to ECO.
Tax
The Tax Authorities justify the postponement with “substantive changes” such as the declarative imposition of “income subject to release rates”. The inspector, Luís Leon, from consultancy Ilya, points out “practical difficulties” in implementing the law.
“The amendment to article 57 of the State Budget Law only takes effect for the 2024 tax year, considering that it has underlying substantive changes, namely, by imposing the declaration of income subject to exemption fees”, indicated the AT in response to the questions asked by ECO. Thus, “the declaratory obligation for the 2024 tax year occurs in 2025”, he concluded.
The mandatory reporting of this type of income which, at the moment, does not have to be indicated in the IRS, such as offshore assets or national capital gains such as dividends, interest on time deposits or savings certificates, as long as they exceed 500 euros, was introduced by PS in the State Budget for 2024, as a measure to combat tax evasion.
For Luís Leon, “there is no technical reason, from the point of view of the law, for not applying declarative changes”. “There are, however, practical reasons such as the difficulty in carrying all the interest, gains and dividends reported by banks and national companies and distributing them automatically to each taxpayer, for each IRS declaration. AT’s computer system is not prepared for this”, warned the inspector.
Malta is at the centre of a brewing crisis with the European Union as it remains the last member state to operate the controversial “golden passport” scheme. This program allows foreigners
The European Commission on Thursday removed Gibraltar from its list of high-risk countries with “strategic deficiencies” in mechanisms to counter money laundering and terrorist financing. The step
The European Parliament has approved new regulations for cryptocurrency agencies, forcing them to conduct due diligence to fight money laundering. The new rules affect all crypto-asset service providers
Brazil’s vision for a global deal to tax the ultra-rich sparked divisions Thursday at a meeting of G20 finance ministers in Rio de Janeiro, where Washington dismissed the need for an international