Tax declaration


A tax return is a document in which every taxpayer expresses those activities carried out, as well as events that may be taxed with a certain tax. This, in order to be accountable to the State.

The tax declaration is the document in which individuals and organizations express all those facts, as well as those economic activities from which a certain income has been generated or from which it could be generated. With the tax return, we report these facts to the State. This, in order to pay those corresponding taxes levied on these events and activities or in order to report our financial situation.

In other words, when both a natural and a legal person satisfy their tax commitments, they do so through a tax declaration.

This satisfaction is susceptible to contracting in different ways. It responds to the existence of taxes related to goods, rights or directly with undeclared income.

These types of statements can also serve different purposes. Most of them respond to needs, such as the correction or addition of new relevant data or required by the tax institution in question.

The reception, verification and supervision of all tax returns corresponds to a body of the Public Administration.

Characteristics of a tax return

The formalization of a tax return involves a series of features to take into account:

  • Start of management: When filing a declaration, a specific phase or period begins. That is, the presentation supposes the start of the particular tax file.
  • Period delimitation: Following the previous point, at the beginning of a term, consequently, a date is set for the maximum period for filing the tax, as well as a margin for possible replicas or official reviews.
  • Voluntariness: Although in the majority of cases these declarations respond to a tax obligation, it is possible that this is made on their own initiative.
  • Platform: Most of these presentations are made in writing through tax documents or reports. With technological advancement, the telematics route has acquired greater relevance.
  • Content: Every declaration must have identifying elements of the taxpayer, the description of the tax to be paid, the amount and its detailed calculation.

Types of tax return

As indicated, the declarations respond to different tax needs, such as commitments with the Administration.

Based on this, it is possible to perform a classification:

  • Common declaration: The taxpayer assumes a tax obligation. These are usually periodic and recurring taxes such as VAT or personal income tax.
  • Complementary or substitute declaration: On occasions, the taxpayer sees a need for a modification of a previous declaration, either because it is incomplete or is erroneous.
  • Untimely or out-of-time declaration: These are those that are presented once a period determined by the Treasury has ended. They often carry surcharges or penalties.
  • Informative declaration: These are those declarations whose objective is to obtain information from the Tax Agency in order to have control over the activities of taxpayers.

Tax return versus tax settlement

Although a tax declaration implies a commitment to satisfy a certain tax, it does not translate into the payment of this as such. In fact, some are called informative returns because they do not carry a tax statement.

In other words, the vast majority of tax returns must be followed by the relevant tax assessment. While the declaration recognizes a tribute, the settlement establishes it as correctly paid.

In many tax models it is possible to carry out a self-assessment with the Public Treasury.

The example of personal income tax makes it clear: the creation of the income draft and its presentation cover the declaration, while the collection of the amount to be paid would finally entail the self-assessment of the tax.

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