Have you received a letter from the Internal Revenue Service?
The tax authorities recently sent out an information letter about the possibility of declaring the return actually achieved. This may be of interest if you had assets in the years from 2019 that consisted mainly of savings or if there were limited investment returns.
You can use a form From the Tax Office, you must report the return actually enjoyed. If this return is lower than the standard return, the Tax Office will correct your Box 3 levy. The letter mentions that you do not have to take any action. In principle, this is correct, except for the year 2019. If you suspect that you have paid too much capital gains tax this year, you should before January 1, 2025 submit the request. The request is through an ex officio reduction. For calculating the flat rate of return, the following percentages applied in 2019*.
Your assets Standard return Tax burden (rate 30%)
€ < € 30,360 Exempt Exempt
€ 30,361 - € 71,650 1.94% 0.58%
€ 71,651 - € 989,736 4.45% 1.34%
€ 989,737 - € > 5.60% 1.68%
* This applies per taxpayer.
Do you want to file an ex officio request for the year 2019? If so, please do not hesitate to contact include.
For completeness, we note that the Council of State advised the Tax Administration not to implement the method of determining the actual return, as described by the Tax Administration in their letter, due to complexity.
As a result, the likely target date of the new system by 2029 remains uncertain.
Author: mr. M. Doves-Bierman
This Blog is written as of December 2024.
