Flash News NA 14/02/2024

End Year Account closure and tax benefits

In the end year closure of accounts, several procedures must be observed, among which we highlight the verification of tax savings resulting from the application of tax benefits in force for each year.

Tax Benefits are exemptions, tax reductions, deductions from the tax base, and other tax measures of an exceptional nature.

Tax benefits are provided for and regulated in several legal documents, which difficulties their use.

For the 2023 tax period, some of the tax benefits and/or incentives that may be applied are:

• Reduction of the CIT rate on the first 50,000 euros to 17% for SMEs and Small Mid Cap

• Investment Support Tax Regime (RFAI)

• Tax Incentive System for Research and Business Development II (SIFIDE II)

• Incentive for Company Capitalization (ICE)

• Tax Incentive for Salary Enhancement

• Extraordinary regime to support electricity and gas costs

• Extraordinary support regime for costs incurred in agricultural production

• Tax incentive for company mergers

• Increased spending on business quotas

• Increased spending on paying childcare vouchers to employees

• Increase in the payment of social transport tickets to employees

• Increased expenses with certain types of Donations/Patronage, namely those granted to the JMJ-Lisboa 2023 Foundation

• Increase in professional diesel costs

These are just some of the Tax Benefits applicable to the 2023 economic period that may contribute to lower tax payments.

An efficient tax strategy contributes to better management of companies' financial resources.

At Nominaurea we have specialized teams to advise and assist you in these matters.