Thanks to advances in technology and better management, most taxpayers in Canada and the United States see their rent refunds arrive in a matter of days. Yet every year, thousands in Alicante wait through the year’s end without receiving a euro. This usually happens when the Tax Administration requests additional information or documents that differ from what is already on file.
Because of this, some taxpayers remained in a holding pattern until December 30. In the province, 12,866 taxpayers faced this situation during the 2022 campaign, representing 2.5% of all refund requests, according to the latest data released by the Tax Office. That figure is slightly down from the previous year, when 13,122 taxpayers were in this status.
Delays in processing may occur for various reasons. The Tax Office generally works to minimize interest payments, and delays are not desirable for either side. If the delay is the administration’s fault, the taxpayer can be owed interest of up to 4.0625% per year. The message is clear: timely verification and clear documentation help keep refunds on track. A reminder that the tax agency aims to handle refunds efficiently, without imposing unnecessary charges.
The typical pattern is that these taxpayers are already in communication with a public agency, which asks for more information. The aim is to complete the process within a maximum of six months, during which the Tax Administration must file the declaration at no extra cost to the taxpayer.
In this context, inconsistencies often arise from interruptions or missing items, such as certain grants connected to the purchase of eco-friendly vehicles or other consumer incentives that must be properly documented.
Cybercriminals also target the revenue campaign
A frequent issue involves interruptions or false claims related to charitable donations. Donations to NGOs may not be deductible if the donor isn’t properly identified at the time of donation. Real estate discounts can also be misapplied; much like during a housing boom, deductions may only apply to the portion of a mortgage that corresponds to the signed loan amount, even if the loan itself is for a larger sum. Similarly, red flags appear when a rent deduction is claimed but the landlord has not declared the income.
Sanctions
When these situations occur and the notification is reviewed, two outcomes are possible. First, if the refund amount is small, a penalty can be applied. Second, if the discrepancy is substantial, a higher penalty may be levied, which can be reduced by voluntary compliance.
In total, the current year features a larger pool of refunds awaiting clarification, amounting to just over 18 million euros.
Beyond these cases, the balance declared by the Tax Office last year saw a total of 855,390 declarations in the province, a new absolute record and 20,415 more than the year before. This rise is linked to more people receiving guaranteed social benefits and active workers who must declare even if they fall below exemption thresholds.
Of course, the number of refunds issued was reduced from 520,024 to 507,937, with 495,071 refunds paid, totaling 305 million euros.
This year’s campaign will begin on April 11. The income campaign will open on April 11 with the option to submit an online declaration according to the taxpayer calendar. It can be completed by phone starting May 5, and in-person service is scheduled to begin June 1. The campaign will close on June 27 for payers and on June 30 for refund requests.