A Helping Hand from Revenue to Thousands of Taxpayers, Who Will Save a Lot of Money

In recent years, cybercrimes have increased, affecting many taxpayers. In reply to this situation, Hacienda  (the Spanish revenue service) has implemented a measure that allows victims of scams to deduct the losses suffered in their Income Tax Return. This option can represent significant savings for those who have been harmed by these crimes.

Since 2023, the General Directorate of Taxes (DGT) has recognized that economic losses resulting from scams constitute a capital loss that can be reflected in the Income Tax Return. This means that if a taxpayer has been a victim of a cybercrime, they can deduct the lost amount when filing their taxes.

Hacienda Confirms Good News for Victims of Cybercrimes

For scam losses to be deductible, it is necessary to report the scam. It is essential to file a report with the competent authorities as soon as the fraud is detected.

Keep all documentation that proves the economic loss, such as bank statements, communications with the scammer, and any other relevant evidence. Capital losses can be offset against earnings obtained in the same fiscal year.

If the balance remains negative, it can be offset with up to 25% of the positive balance of income from work, real estate capital, and economic activities. If losses remain after this compensation, they can be applied in the following four years.

Why is the Revenue Service Reaching Out to Victims of Cybercrimes?

It is important to note that if, after legal proceedings, the lost money is recovered, it must be reported. It will be declared as a capital gain in the year it is recovered.

Hacienda recognizes the increase in cybercrimes and the economic impact they have on taxpayers. By allowing the deduction of scam losses in the Income Tax Return, the aim is to alleviate the tax burden on victims.

The goal is to offer them an opportunity to mitigate the economic damage suffered. To reflect scam losses in the Income Tax Return, follow these steps:

• Access the Renta WEB program, available on the official website of the Tax Agency.
• Section of capital earnings and losses: Go to the corresponding section.
• Loss registry: Enter the amount of the loss suffered due to the scam.
• Attach documentation: Although it is not always mandatory to attach documents in the online submission, it is advisable to have all documentation supporting the loss on hand in case Hacienda requests it later.

Remember that it is advisable to have the advice of a tax professional to ensure that you carry out this process correctly. This way, you can make the most of the available deductions.

This measure not only helps mitigate the economic impact of scams. It also reflects a commitment on the part of the tax administration to support those affected by these crimes.