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What expenses can you deduct from taxes as an employee?

If you are a natural or legal person, it is important that you make your annual declaration before the Tax Administration Service (SAT), therefore, we tell you what is the deadline for taxpayers to do it.

In the case of legal entities, they have until March 31 to present it, for their part, natural persons have the deadline until next April. It is important that as a taxpayer you comply with these tax obligations in a timely manner.

What expenses you can deduct from your annual return. Photo: Reform Annual expenses that you can deduct

Another important fact that you must take into account is that if you are registered with the SAT you can deduct some annual expenses that you have had, among which are, for example, payments of medical insurance premiums, tuition fees, funeral expenses, among others .

So that you have no doubt, we leave you the complete list of expenses that employees can deduct in their annual statement before the SAT:

Medical, dental, nursing and hospital expenses, including the rental or purchase of rehabilitation devices, prosthetics, tests and clinical studies. Optical lenses graduated for up to 2,500 pesos. Funeral expenses. Health insurance premium payments. The real interest, effectively paid in the year, for mortgage loans for your house. Donations. Mandatory school transportation. Voluntary contributions to the retirement fund. Local taxes for wages. Tuition (preschool to high school).

Taxpayers who are registered with the SAT must comply with their annual return, but it is necessary that they meet the following characteristics:

Having obtained income greater than 400 thousand pesos in the year. Have worked for two or more employers in the same year, even if you have not exceeded 400 thousand pesos

In the same way, it is necessary that all the people who requested in writing to their employer not to present their annual declaration, must do it on their own. Also those who stopped providing their services before December 31 of the year in question, as well as those who provided services for salaries to people who do not carry out withholding such as embassies or international organizations.

Employees who obtained accumulative income are also considered, such as fees, leasing, business activities, among others. In addition to those who have received income from retirement, pension, liquidation or some type of worker’s compensation.

How to make the annual declaration

The first thing you should do is that the annual return is the process of providing your information about your income, deductions, withholdings and provisional payments to the SAT. Before doing so you must have the following documents:

Federal Taxpayers Registry (RFC). Password. Current signature, in case of having a balance in favor greater than 150 thousand pesos. Standardized Banking Code (Clabe) for the deposit of the balance in favor, if any.

It is important that you know that the SAT platform has preloaded information, but if you want to avoid any errors, you should have the following information at hand:

The CFDI’s of income. Authorized deductions (for whoever applies them) Personal deductions. Provisional ISR payments. Clabe, for the deposit of the balance in favor.

For more information on this and other topics, visit our Savings section.