Income Tax Return 2024-2025: Everything You Need to Know

It’s that time of year to settle accounts with the tax authorities. Filing your income tax return may seem complicated, but with the right information, it becomes much easier. In this guide, we outline the key steps to submit your tax return in 2025 and make the most of the available deductions. Before diving into the details, remember that we also have an article on this website that explains the latest updates for the 2024-2025 tax return campaign.

 

Important Dates

The Tax Agency has already enabled citizen access to their tax data, allowing them to review and modify their tax information. When does the filing period start, and what other dates should you keep in mind?

🔹 April 2: Start of the campaign for online tax returns.

🔹 April 29 – June 27: Period to request an appointment for telephone assistance.

🔹 May 6: Start of the telephone support service.

🔹 May 29 – June 27: Period to request an appointment for in-person filing.

🔹 June 2: Start of in-person tax filing appointments.

🔹 June 25: Last day to set up direct debit payment if the return results in a tax payment.

🔹 June 30: Final deadline to submit the tax return.

 

Who is Required to File?

You must file a tax return if in 2024 you:

🔸 Earned more than €22,000 from a single payer.

🔸 Earned over €15,876 from two or more payers, if the second payer contributed more than €1,500.

🔸 Are self-employed, regardless of your income.

🔸 Earned investment income and capital gains subject to withholding, exceeding €1,600 annually.

🔸 Have imputed real estate income, returns from Treasury Bonds, or subsidies exceeding €1,000 annually.

How to File Your Tax Return

Here’s the step-by-step process for filing your income tax return:

1. Obtain the draft tax return with pre-filled tax data (available from April 2, 2025). You must access the Tax Agency’s online portal.
2. Review your tax data and documents: Ensure accuracy and have supporting documents for income, expenses, deductions, and tax benefits.
3. Confirm or modify the draft: Add any missing personal or financial data, correct errors, and apply relevant deductions.
4. Submit the tax return online, by phone, or in person at the Tax Office.
5. Make a payment or request a refund. You can split the payment into two installments: 60% upon filing and 40% by November 5, 2025. Direct debit is available until June 25, 2025.

 

Key Deductions to Optimize Your Tax Return

When filing your return, it’s crucial to know which deductions you can apply to lower your tax bill. Here are some of the most important deductions for this year:

✔️​ Work-related income deduction. A general deduction of €2,000 annually. Additional deductions apply: €2,000 for workers relocating for a job and €3,500 for disabled active workers.

✔️​ Rent deduction: The state deduction for rental payments was eliminated in 2015, but it still applies to leases signed before January 1, 2015.

​✔️​ Charitable donation deduction: The percentage of deduction depends on the amount and frequency of donations.

​✔️​ Business investment deduction: Available for self-employed individuals and professionals, including R&D investments and job creation incentives.

✔️​ Family deductions: Maternity deduction for working mothers with children under 3 years old, large family deduction, deductions for dependents with disabilities.

 

Need Help with Your Tax Return?

If you want to optimize your tax filing and ensure compliance, Adlanter offers expert tax advisory services.

📞 Contact us today, and let us handle everything for you!