How to improve your tax savings

There are several ways to improve your Tax Savings so that you can take advantage of the possibilities offered by the Tax Agency and thus < strong >achieve get the most out of their bonuses to pay less taxes.

Although some of the bonuses were eliminated in the last tax reform, you can take advantage of the deductions still in force to reduce your tax burden.

Ignorance means that people only sometimes deduct what they are entitled to, with the economic loss that this entails. Knowing the possibilities the Tax Agency offers helps you face your tax obligations with the necessary guarantees.

Did you know that with an appropriate tax savings plan you can save up to 30% more than without it?

Below, we tell you four ways to save taxes almost effortlessly.

1-Pension plans

Pension plans are an exciting way to deduct taxes because they allow you to save on your income tax return while investing in your future. With the current situation of the Social Security provident fund, it is highly recommended since it would not be surprising if retirement pensions were increasingly lower.

In this sense, it is estimated that for €4,000 invested in a pension plan, you can get a tax deduction of up to €750. If your salary exceeds €60,000, the figure would be close to €2,000.

It is evident that this is a formula that rewards the highest salaries, but as you can see, everyone can apply some deduction. Therefore, it is highly recommended that pension plans be invested in.

2-Housing

There are several ways to save through a housing contract. There have been many legislative changes, but exciting options remain.

• Property: If you purchased a home before January 1, 2013, you still have the right to deduct it. You can apply a 15% discount with a maximum of €9,040 annually. For cases after that date, the deductions have been eliminated.
• Rent: If you are renting with a contract before 2015, you can continue to deduct part of the expense, with the maximum amount to be deducted being 10% of the total. For monetary purposes, the maximum is the same as the previous case so that you could save up to €9,040.

3-Solidarity

It is one of the most pleasant tax savings options because, in addition to saving money, you will feel good about being in solidarity with the most disadvantaged. The tax agency has expanded the bonus for these cases, placing it at 75% for the first €150 invested.

From that first amount, the bonus is reduced to 30%, which is still relevant and exciting. In the specific case that you have contributed to the same entity for three years, the savings section is increased to 35%.

4-Invest in new companies

A 20% bonus is established for investments in newly created companies, with a maximum tax deduction of €50,000. However, this deduction has its fine print and is conditional on the investment being maintained between 3 and 12 years.

Investing in new companies is not just a tax-saving strategy, it’s an opportunity to be part of something new and exciting. By supporting these ventures, you’re not only saving on taxes but also contributing to the growth of innovative businesses.

With these tips, you can start to see the benefits of good tax planning. It’s not just about saving money, it’s about feeling confident in your financial decisions and securing your future.