Taxpayers required to submit their 2024 tax returns to the State, declared between April and June of this year, have until today to pay the amount to the Tax and Customs Authority (AT). Did you know you can pay in installments?
A Facebook post by the AT stated, “If you wish to pay the IRS in installments, you do not need to wait until the deadline ends.”
How do the installments work?
- Up to 36 installments, with a minimum monthly amount of €25.50;
- The amount for calculating installments does not include interest on arrears.
How to apply?
The request must be submitted within 15 days after the payment deadline through the Finance Portal at: Citizens or Companies > Services > Payment Plans > Simulate/Register Request.
You should also indicate the number of installments.
While the official date for the previous year’s IRS payment is August 31, the payment deadline is extended to today, September 1, since the cutoff falls on a Sunday, as stipulated by law.
The tax administration had until July 31 to complete the tax settlement process for taxpayers who submitted their 2024 tax returns on time, which spanned from April 1 to June 30.
If the settlement resulted in taxpayers owing tax, there is a one-month period to make the payment, which is now concluding.
When the AT completes the IRS calculation, the final assessment may require a payment (indicating that taxpayers owe additional tax) or result in a refund (a situation where the taxpayer receives money back as the tax adjustment dictates).
Owing tax at this point does not mean paying more than the previous year; it simply means that the State’s records do not yet match the actual IRS amount paid based on the effective tax rate applicable to the taxpayer’s financial situation and annual income level.
During settlement, the AT considers how much a taxpayer has already prepaid through withholdings. If the final IRS amount exceeds what was prepaid during the year, the taxpayer receives a notice of the amount due.
Additionally, the AT considers deductions, which can influence whether a taxpayer receives a refund or needs to pay additional tax now.
Along with payment deadlines, this is also when the Tax Authority must complete processing refunds for those who submitted returns by the June deadline, or they must repay with interest.
