For those who deliver the declaration alone, it is important to be aware of the changes in some fields and how to complete the program. From 2019, several points were changed or clarified by the IRS: Children and dependents: Regardless of age, it is now mandatory to inform the dependent’s CPF in his declaration. It is worth remembering that it can only appear in the declaration of one of the parents.
Refis: those who adhered to the Special Regime for Foreign Exchange and Tax Regularization must inform in the Annual Adjustment Statement (DAA) the assets and rights of any nature that they declared when joining the program.
Expenses abroad: The IRS clarified that expenses with education, culture and science, medical treatment for you or dependents abroad, are not subject to withholding tax. For the taxfyle.com/income-tax-return-calculator this is important.
Even with the delivery deadline postponed to the end of June, it is important that you organize all the documentation and proof necessary to deliver your declaration and do so as soon as possible, avoiding delays and fines.
For filling, you will need:
- Personal documents (RG, CPF, Proof of residence, bank details)
- Income report (company must provide)
- Personal documents of dependents (CPF mandatory)
- Application yield report or application statement
Evidence of medical expenses (name, address, CPF or CNPJ of the provider, date and signature of the doctor if not an invoice)
- Proof of teaching expenses
- Private Pension Statement
- Health Plan Documentation
- Documentation of properties and vehicles (including financed)
- Financial income report (provided by the bank)
- Rent payment receipts
- Donation receipts
Complete or Simplified Declaration, which is the best?
How do I know if I owe IRPF? Income Tax Table
To better understand the amounts of discounts for dependents, deduction limits with education and other details, check the tables available on the website of the IRS.
How is the tax calculated?
There are two ways to submit your statement: simplified and complete. In the simplified model, you deduct 20% from the calculation base, and that’s it. No other discounts for doctors, school, dependents or social security will be used.
Complete: In this modality you add all the taxable income and deduct the amounts allowed by law: dependents, education, medical expenses, etc.
The amounts received, less the deduction amounts, regardless of the choice of the declaration model, will indicate its final calculation basis and using the income tax table it is possible to identify the final amount of the tax due.
Income tax documents
The good news is that the IRS makes an online simulator available so you can get ahead of yourself as much as you owe the Lion this year.