The Tax Office plans to refund 317 million euros to Alicante taxpayers this year, starting this Tuesday as the tax season opens. According to the Special Delegation for the Community of Valencia, this amount marks a 2.1% drop from last year. In light of fewer refunds, the Treasury is expected to pay out more overall, rising by 10.6% to reach 612 million euros. Net effect for public finances is a gain of 296 million euros. In total, a record 888,868 filings are anticipated, up 33,478 from the previous period.
In 2021 there was a noticeable rise in the number of people required to file. The Temporary Employment Regulation File (ERTE) meant many workers had two employers, with both Sepe and, in some cases, the obligation tied to those receiving the Minimum Income. The trend continued last year and is projected to persist. Although the number affected by ERTE filings has declined, the number benefiting from the minimum income has grown, and overall employment has risen.
About 496,707 returns—nearly two thirds of the total—will yield refunds, averaging 638 euros. A further 287,306 returns will show positive results, averaging 2,130 euros for taxpayers. Conversely, 104,855 returns will have neutral or negative outcomes, meaning no payment or refund.
Concerning Wealth Tax, the Tax Office estimates 28,169 declarations across the Community of Valencia this year, up 2.3% from last year, producing 196 million euros compared with 187 million in 2022.
Nationally, 22,899,000 declarations are expected, up 3.4% from the previous year. Of this total, around 13,600,000 declarations will entitle refunds estimated at 9,946 million euros. Taxpayers with about 7,649,000 declarations will contribute 16,448 million euros to the State coffers.
In general, those earning up to 22,000 euros per year from employment alone are not required to file. Those with income from business, capital and economic activities, as well as capital gains from subsidies or awards with a common limit of 1,000 euros and a capital loss under 500 will also be affected.
Income 2022-2023: A quick guide on how to file an income statement
A key new feature this campaign is the virtual assistant from the Tax Office to help clear taxpayers’ doubts about Personal Income Tax and the Income. This complements last year’s whistleblower service. Another change: special data will be shared with mothers who lost maternity benefits due to job loss from contract suspensions, who can now receive support again.
Temporary offices
Spanish Minister of Finance and Economic Model Arcadi announced that the Valencia Tax Office (ATV) will provide free, personalized phone and in-person assistance to help people prepare their income statements. ATV will also open temporary offices in 21 municipalities across the Community, including the provinces of Alicante such as Altea, El Campello, Pinoso, Santa Pola, Torrevieja, Xaló, Xixona and l’Alfàs del Pi.
Here comes the Income Campaign: regional deductions you can apply in the Community of Valencia include new incentives from the latest Generalitat tax reform. These changes raise many deductions by 10% for incomes up to 60,000 euros.
Buying a home now carries a 5% deduction on the purchase price, capped at 9,015 euros if the buyer is 35 or younger, with the same rate and cap if disabled.
Rent deductions offer a 20% discount, up to 800 euros for people over 35 and up to 950 euros for minors, disabled individuals, or victims of gender-based violence. If multiple conditions apply, the deduction can reach 1,100 euros.
Home improvements allow deductions up to 8,800 euros, including 40% for energy efficiency upgrades in the primary residence and 20% for improvements in a second home. Accessibility and sustainability work can claim 20% up to 5,500 euros, or 50% if the contractor has a disability.
Mortgage interest deductions may grant up to 100 euros for increases in interest on home loans or rehabilitation work.
Depopulation support includes a 330-euro payment for residing in a depopulating municipality, potentially rising to 594 euros per child.
For families, there are various targeted payments: 300 euros per child born or adopted; 246 euros for multiple births or adoptions; 246 to 303 euros for a disabled child; 330 to 660 euros for large or single-parent households; 287 for kindergartens or early childhood education; 460 to balance work and family life; and 110 per minor in permanent foster care.
Fertility support includes a 100-euro payment for women aged 40 to 45 who have undergone fertility treatments.
A 197-euro amount is available for disabled people aged 65 and older.
A 50% deduction on contributions for unemployed individuals who stay employed to care for children under five is available under the work-related incentives.
Mobility incentives include a 10% discount on purchasing bicycles or city electric vehicles.