A man with a frustrated expression in front of a laptop, with the Tax Agency logo and a warning icon in the background.
LIFESTYLE

Cold Water Shock From Hacienda to Thousands of Spaniards: They Have No Choice but to Pay It

Thousands of taxpayers with these annual incomes have taken a hit ahead of the 2025 Income Tax Return

The upcoming Income Tax Return will bring an unpleasant surprise for thousands of Spaniards with annual incomes between 22,000 and 35,200 euros. These taxpayers could be forced to pay a considerable amount to Hacienda.

In 2023, the Government implemented a reduction in the IRPF withholdings applied to salaries. This measure increased the net monthly salary of many workers, especially those with incomes in the mentioned range.

Hacienda's Blow to Thousands of Spaniards: They Have to Pay No Matter What

However, this adjustment did not eliminate the tax obligation; it simply postponed part of the tax payment. As a result, now, in the 2025 Income Tax Return, these taxpayers will have to pay the difference that was not previously withheld.

Man in suit with surprised or worried expression while holding a document in an office with an agency logo in the background.
Many are hurt by what they'll have to pay | Minerva Studio, Catanfa, Agencia Tributaria

The exact amount each taxpayer will have to pay will vary according to their personal and family situation. Factors such as family burdens, applicable deductions, and total income will influence the final amount. Nevertheless, it is estimated that the refunds will range between 400 and 900 euros for those with incomes between 22,000 and 35,200 euros.

What Can We Ask the Company to Solve This Problem?

To avoid surprises in future income tax returns, workers can take preventive measures. One option is to request an adjustment in the IRPF withholdings applied to the payroll from the company.

By increasing the monthly withholding percentage, the likelihood of having to pay a significant amount when filing the annual return is reduced. This measure implies receiving a slightly lower net salary each month, but it allows for more balanced compliance with tax obligations throughout the year.

What Hacienda Says About It

The Tax Agency reminds that it is the taxpayer's responsibility to ensure that the withholdings applied are appropriate to their personal and work situation. Although companies apply withholdings based on the information provided by the worker, they must communicate any changes that affect the IRPF calculation.

Surprised woman with her hands on her head next to the logo of the Tax Agency.
This is how Hacienda explains the problem | Viktoria Korobova de Getty Images, Navamin Studio, Agencia Tributaria

Additionally, Hacienda provides tools and simulators on its website, all so that taxpayers can verify if the withholdings applied to them are correct, and if necessary, request adjustments from their employer.

With all this, many workers with incomes between 22,000 and 35,200 euros will face additional payments in the next Income Tax Return. To avoid this "tax blow" in the future, it is advisable to review the withholdings applied to the payroll, and if necessary, request an adjustment from the company that suits the personal tax situation.

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