The deadline for charging deductions from Earnings expires: how to do it

The deadline expires on March 31. so that employees in a dependency relationship, retirees, pensioners and other subjects report all deductions allowed by law to reduce the final tax base on which the income tax will be settled by the AFIP.

In the same application you can load all the perceptions suffered by purchases abroad with a card, or purchase of savings dollars, that have suffered the perceptions of the PAIS tax or the so-called Qatar dollar.

Income tax is an annual tax. In the case of employees or retirees, the employer makes a partial settlement month by month, withholding based on a projection of income and deductions (which can be uploaded monthly through the SIRADIG microsite on the AFIP website. ).

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In March of the following year, they must complete the burden of all deductions definitively, so that, with the fiscal year closed and the total of the deductions charged, the definitive liquidation of the tax is made.

Also enter the deposited advances and receipts or retained advances during the year, such as those of the COUNTRY Tax, either for the purchase of tickets abroad, tourism expenses, or those for the purchase of foreign currency for savings or expenses with credit cards from Netflix, Spotify, etc.

If the amount withheld during the year was greater than the final balance to be deposited, it will be returned automatically on the March pay stub payable the first days of April. In the event that there is any balance to be paid, it must be cancelled. For this, the deductions must be loaded in the SIRADIG F572. Web.

What is SiRADIG F.572 – Web?

It is a system that allows employees record and update Income Tax deductions and to the employers to carry out the corresponding liquidations.

To submit the sworn statement form F. 572 Web, through the service “System for Registration and Updating of Income Tax Deductions (Siradig) – Worker”corresponding to the 2022 fiscal period, must be entered on the AFIP website and have a CUIT (Unique Tax Identification Code) number and level 2 or higher fiscal code.

Once entered in the microsite, in the Personal Data tab, You have to enter the personal information and, in the Employers tab, load the data referring to the employer, stating if it is your withholding agent and, if applicable, inform about the multiple employment status.

In the Form Load option, deductions, perceptions and/or withholdings must be entered.

When the loading of all the items is finished, select the preview button to consult the draft with the data loaded so far.

To finish submitting the form, click Send to employer and then click Generate presentation.

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What are the deductions allowed in income tax

Next, the deductions allowed in the tax, the maximum amounts for each of them and how to enter them on the AFIP website:

Family responsibilities:

• a) Spouse or Domestic Union: $235,457.25. You have to be an Argentine resident (have lived more than 6 months in the country); and have income less than $252,564.84 (non-taxable minimum);
• b) Child, stepchild under 18 years of age: Although the requirements are the same as in the previous item, the amount is $118,741.97, and it can only be declared by the person who has parental responsibility, according to the Code Civil and Commercial of the Nation. In case of being shared if both parents are reached by Earnings, each one can compute 50% of the amount of the deduction or one of them the total.
• c) Child disabled to work: $237,483.94, according to the terms described above.

Deductions and allowances:

• Medical assistance fees: It may not exceed 5% of the net profit for the year.
• Insurance premiums in the event of death: 42.921,24 pesos.
• Donations: Only those made to religious institutions, associations, foundations and civil entities can be declared, as long as they are recognized by the AFIP as exempt from Income Tax, up to a limit of 5% of the net profit for the year.
• Mortgage loan interest: Only those originating from the purchase or construction of real estate destined for a house-room, up to $20,000 per year, may be computed. This is an amount that was outdated, because it was not updated with the various modifications made to the Income Tax Law.
• Burial expenses: Only when they occur in the country and originate from the death of the employee or one of the people reported as dependents, up to $996.23. This is another of the items that have become outdated.
• f) Expenses for the acquisition of clothing and medical equipment: Only in the event that it is purchased by the worker at the employer’s requirement to be used exclusively in the workplace.
• g) Rentals: Up to 40% of the total amount, with an annual limit of $101,025.93, as long as they do not own a property or land, and register the supporting documentation (contract and proof of payment).
• h) Domestic staff: with a maximum limit of $252,564.84; as long as they are registered as personal in private homes and the worker pays the remuneration and employer contributions for the year, included in the fixed monthly contribution.
• Brokers and commercial travelers: When they use their own car, they can deduct the tax amortization of the vehicle and, where appropriate, interest on debts related to the purchase of the unit. If it is also used in a particular way, the proportion of such concepts must be indicated.
• Education: The taxpayer may deduct the expenses paid for their minor children, or for those who are up to 24 years of age, on the condition that they attend regular or professional studies and their income does not exceed the non-taxable minimum. If both parents are reached by Earnings, it may be computed in equal parts, or one of them may make the deduction in its entirety. It has a cap of 40% on the non-taxable minimum for each fiscal period, which for 2022 is $252,564.84; that is to say, up to the sum of $101,025.94 may be deducted.
• Bank debit and credit tax: Up to 33% originated in the accreditations made in the bank account.
• Perceptions for operations in foreign currency: Includes payments on account regulated for the purchase, acquisition of goods or services abroad by credit, debit or purchase card; contracting with a credit or debit card or purchase of services provided by non-resident subjects; and contracting of land, air and water transportation services for passengers with destinations outside the country.

What happens if I am no longer working in a dependency relationship?

In this case, the tax should have been withheld in the final settlement, if applicable, but it may have happened that they were not settled with all the updated or corresponding deductions.

For example, the deduction for education expenses was finished regulating in mid-January, and was later available in the latest SIRADIG update. Hence, they must register for Income Tax and submit the sworn statement independently using the final settlement that their employer gave them and incorporating said deductions in order to receive the benefit. NA.

LM