Complete News World

Find out who is included in the new decree – Executive Summary

Find out who is included in the new decree – Executive Summary

The scope of taxpayers covered by automatic income declaration has been expanded following the Cabinet's approval of the regulatory decree. Who now has this choice?

According to an IRS source contacted by Executive Summary, “The new regulatory decree follows a path to support voluntary compliance and expand the scope of the IRS’ automatic declaration, Includes taxpayers who make investments in individual accounts managed under the general capitalization system“.

The General Capitalization Scheme is a supplementary social security scheme that acts as a savings account to supplement your pension upon retirement (due to old age or absolute disability). As you work you make additional deductions that are placed in an account in your name. This account is part of an investment fund – the Retirement Certificates Fund.

The law provides for automatic income declaration, applies the SIMPLEX+ procedure and since 2017 the universe of taxpayers covered by this automation has been defined.

Since 2017, the government has promoted a wider scope for automatic income declaration. In the first step, “for families with dependents, as well as those with tax benefits relating to donations that are subject to communication with the AT by the beneficiary entities,” explains the AT.

In 2019, “taxpayers who invest in retirement savings plans (PPR) in the covered world began to be included in the automatic income declaration.” Later, in 2021, persons “covered by the simplified system will issue, exclusively on the Finance Portal, corresponding invoices, invoices and receipts”, with the exception of the provision of services under code 1519 (“other service providers”).

See also  ChatGPT stands for the most promising AI cryptocurrency

It is worth noting that in the 2022 IRS campaign, approximately 1.7 million IRS returns were filed via the automatic return system, making it easier to comply with this obligation for the 30% of taxpayers who file a corresponding IRS return through 2022.

The Council of Ministers approves a decree extending the automatic income tax service