• Joana Wheeler

Didn't validate all expenses on the e-Faturas? Learn how to recover deductions - IRS

You had until February 25 to verify all outstanding expenses on the e-Invoice (e-Fatura) platform, but nothing was lost you did not do it. Health, education, housing, and real estate costs incurred in 2021 can still be deducted manually from the IRS. Experts explain:

The majority of expenses for 2021 are no longer valid; only those for this year are valid until the 25th of February 2023. However, last year's spending on health, education, housing, and real estate that was not yet validated "is not lost."

According to the experts, "The Tax Office will no longer automatically take these expenses into account because they were not validated within the deadline, which ended on the 25th of February. This implies you will have to manually declare these deductions on your IRS tax return."

But how do you go about doing it? "Pay special attention to Table 6-C, where health, education, nursing homes, and real estate expenses should be put when submitting Annex H to the IRS statement, referring to tax benefits and deductions".

"Answer Yes to the question 'Do you intend to declare health, training and education expenses, property charges, and household charges instead of the figures communicated to the Tax and Customs Authority (TA)?' (field 01). This instructs the Tax Office to disregard any amounts recorded in the e-Invoice (e-Fatura) platform and depend solely on the amounts already stated".

Experts go on to say that "You can amend the total to be disclosed if you have specific deductions specified with their codes (for example, code 651 for health expenses). Click 'Add Line' if you do not receive deductions or if you need to input a new type of expense (for example, health insurance premiums)".

"Depending on the expenses to be reported, you can choose from codes 651 to 665. Indicate the total amount of spending for each type, remembering to include all charges that were already accounted for in the e-Invoice (e-Fatura) platform but that the Tax Office was advised to disregard. The amount that must be entered must match the revised total of each category of spending".

This procedure must be repeated for all members of the household. Experts state, "in the event of deception, you can delete the entered data by hitting the red button with the symbol of a dustbin."

One question that you need to bare in mind is “When i insert new expenses into the IRS statement, do I have to rely on the ones already validated?" Yes, the new amount to be declared corresponds to the total expenditure of each typology (health, education, homes and real estate). Check the e-Invoice (e-Faturas) platform to see the previously accounted amount and add the missing amounts, getting the new total to declare."

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