The annual income tax return is a tax obligation that individuals and corporations must comply with in accordance with the first article of the Income Tax Law and the provisions of article 31 A of the Federal Tax Code.
Article 9 of the Income Tax Law indicates how this calculation should be made and the rate at which payment should be made on the resulting taxable income, which for fiscal year 2024 remains at 30%.
But how do I arrive at the tax result? Let’s take into account several points to review which will help us to reach this result.
- 1. We must keep an adequate accounting record of our monetary operations with their respective supporting information (article 28 of the CFF), make sure that your accounting is up to date, so you can obtain the financial statements that are indispensable for filling out your tax return.
- 2. Check your income, your invoices must be issued according to the invoicing rules, (annex 20 of the R.M.F) you may find yourself with the surprise that you have an invoice that you consider cancelled and your client rejected the cancellation, if you need to make any income cancellation 2024 you can do it in the month where the annual declaration is filed, that means that you have until March 31, 2025 to do it (RMF rule 2.7.1.47).
- Take into account your expenses and costs; invoices must have the fiscal requirements indicated in article 29 of the CFF, check your supplier invoices, you may find that your receipt is cancelled and your costs or expenses may not be deductible because they do not have a valid support by the SAT.
- 4. Issue and validate your issued payroll receipts, you have a deadline of February 28th to correct them in case of errors in their issuance or pending stamping.
- 5. Check your assets (buildings, furniture, computer equipment, transportation equipment, office equipment), that you have your invoices, that the investment deduction is being applied monthly, remembering that for transportation equipment there is a tax deduction limit of 175 thousand pesos, and above all your analysis of the year with the update factor (tax depreciation) since they are part of the authorized tax deductions.
- 6. Have your provisional payments at hand, the income that you declared monthly during the fiscal year must be the same that you will accumulate in the annual tax return, since it will be the income that you will have preloaded in the SAT page, if you have a difference, consider presenting complementary payments in time since the system takes from 3 to 5 days to update.
- 7. If you have tax losses from previous years, you may update them and reduce them from your taxable income for the following ten years until you exhaust them, but if you do not apply them in any corresponding payment period, you may lose the right to apply them to the resulting tax payable (Article 57 of the Income Tax Law).
You may need to make some other report depending on the regime in which you find yourself, (Simplified Trust, non-profit legal entities), but in essence all must take into account the above points, as they facilitate you to generate your financial statements that will be a basis for your filling, you must perform the tax accounting reconciliation that although it is not mentioned in the law is a very useful working paper.
Once you have reviewed all your taxable income, you can reduce your authorized deductions (returns, cost of sales, investments, interest, etc., article 25 of the Income Tax Law), resulting in the taxable income from which you can reduce the PTU you have paid to your employees during the fiscal year you are going to declare, remember that it must be duly stamped.
The 30% rate will be applied to your taxable income, which will result in the tax payable, if during the year you had income tax payments, they will be deducted from your tax payable.
Important point, have your password handy, but above all, check the validity of your password, with which you will sign your declaration on the platform.
Butdo not wait until March to review all the above points, you have from this moment until the last day of March to do it and correct yourself if necessary and be ready to file your annual return, so you can avoid saturations in the SAT page and ultimately have the consequence of the “FAMOUS” invitation letters.
