Income tax refund payments start on May 2

Income tax refund payments will begin on May 2, the tax administration reported on Monday, expecting that most refunds from the annual income tax return for 2023 will be completed by the end of May.

According to data from the tax administration, as of April 15 this year, in the process of determining the annual income tax return for 2023, a difference of overpaid tax and surtax for a refund in the amount of 332.8 million euros was established for a total of 830,122 taxpayers, while 97,512 taxpayers were found to have an obligation to pay income tax and surtax totaling 35.3 million euros.

Based on the annual income tax return for 2023, a total of 212,438 taxpayers – young people will be entitled to a refund of overpaid income tax and surtax based on tax reductions for individuals, of which 83,528 persons under 25 years of age will receive 75.9 million euros, and 128,910 young people aged 26 to 30 will receive 100.1 million euros.

Income tax refund payments will start on May 2, according to the statement from the Tax Administration.

Notifications about temporary tax decisions regarding the refund of income tax for 2023 will begin to be sent to citizens on April 22 in their user inboxes in the eCitizens system, and the Tax Administration will start delivering decisions by mail to the addresses of residence or usual residence during May.

The tax administration notes that refunds will be executed for those taxpayers who meet the conditions for a refund, continuously according to the order in which decisions are issued.

The amount of the tax refund depends on the amount of tax and surtax paid, the allowances to which the taxpayer is entitled, and the age of young individuals (up to 30 years).

It is expected that most refunds from the annual income tax return for 2023 will be executed by the end of May.

The tax refund will be executed, as stated, cashless to the payment account that taxpayers have opened with banks, and exceptionally in cash for taxpayers who do not have an open bank account or if at the time of executing the income tax refund they do not receive income for which there is an obligation to pay into the account.

If taxpayers have not provided the tax administration with information about the change of the account number to which they want the tax refund to be executed, the tax refund will be paid to the account determined based on the unique register of accounts held by the tax administration.

The tax refund is not considered income that would be exempt from enforcement in full, or in a certain amount according to the Enforcement Act, and the tax administration is unable to pay the tax refund to a special (“protected”) account in accordance with Article 212 of the Enforcement Act, but the payment can only be executed to the regular accounts of the taxpayer.

The tax administration emphasizes that for questions regarding exemptions or limitations from enforcement on monetary funds prescribed by the provisions of the Enforcement Act, the competent Ministry of Justice and Public Administration is responsible.

The temporary tax decision will be delivered to the taxpayer at the address of residence or usual residence from the official records held by the tax administration no later than June 30, 2024.

An objection to the temporary tax decision can be submitted no later than July 31 if the taxpayer believes that the data from the temporary tax decision is incomplete or incorrect.

Exceptionally, taxpayers who receive the temporary tax decision after June 30 can submit an objection no later than 30 days from the date of receipt of the temporary tax decision, the tax administration states.

They also emphasize that the tax administration will not execute the refund of overpaid tax if it has determined that the taxpayer has overdue, unpaid taxes.

Additionally, the tax refund will not be executed for taxpayers whose income payers are undergoing tax collection procedures based on paid income.