The changes in the declaration submission process
The countdown to the start of submitting the tax returns has already started, as this year’s process is different, with the dates already “locked”. The changes are not limited to the procedure but also extend to the tax that specific categories of citizens will be asked to pay. These changes affect, among others, freelancers, block-paid workers, taxpayers who renovated properties, owners of foreclosed homes who rented them out or made them available through Airbnb, and farmers with dependent children.
The new tax reliefs result from recent regulations that have already been implemented and are expected to be reflected with a significant difference in the 2025 bills. These reductions are expected to ease the tax burden for different categories of taxpayers. For example, self-employed and self-employed people will benefit from the abolition of the estate tax, while taxpayers who carried out renovations or upgrades to properties in 2024 will see reductions in their income tax, thanks to the allowances provided for the expenditure renovation. In addition, property owners who took advantage of foreclosed homes through long-term rentals or Airbnb will be exempt from paying rent tax in the last quarter of 2024. Finally, farmers with protected children will see an increase in the tax-free threshold and corresponding reductions in their taxes, it was reported at APE BEE.
In detail:
1. Taxpayers with property renovation: Taxpayers who renovate their property in 2024 can reduce their income tax by up to €3,200 over five years, with expenses of up to €16,000. The benefit depends on the amount of renovation costs, e.g. for an expenditure of 10,000 euros, the relief reaches 2,000 euros per year.
2. Freelancers: The abolition of the pretense fee reduces the tax by 325 euros for all professionals. Especially for those operating in areas with a population of less than 1,500 inhabitants, the relief is even greater, as the presumptive income is reduced by 50%.
3. Employees with a “block”: Workers with a “block” will benefit from a tax reduction of 400-500 euros due to the abolition of the pretense fee. This change will appear on the 2025 statement.
4. Owners of closed houses: Those who rented properties that had been closed for three years will not pay tax on rents for the last quarter of 2024, as long as the tenancy took place after September 8. The tax exemption is valid for 36 months.
5. Farmers with protected children: Farmers with protected children will see their tax-free increase by €1,000, with the benefit rising to €240 a year for farmers with four or more children.
What are the changes implemented from this year?
According to the legislation, by January 15, the obliged State bodies had to register on the AADE platform, while the deadline for posting data is February 28. Operators who delay or send inaccurate information are fined 2,500 euros, which is additionally charged with 50 euros for each day of delay.
The filing of tax returns will begin on March 15 and end on July 15, with no further extensions.
Spouses are obliged to file a joint declaration from the year of marriage, with the tax calculated separately for each spouse. If a joint declaration is submitted this year, the change for a tax divorce in 2025 must be declared to the AADE by the end of February.
AADE will clear approximately 1.3 million individual returns by 16 April 2025, with pre-cleared returns ready for submission from 15 March 2025. Those who file by the end of April 2025 and pay a lump sum will get a 4% discount to the tax.
The tax will be paid in 8 monthly installments, with the first installment due by the last working day of July and the rest by February 2026. If the tax is paid in one lump sum, a 4% discount is provided until April 30.
