Annual income declaration for an individual

The annual income statement is a mandatory document that allows individuals to declare their income, take advantage of tax benefits and comply with legislative requirements. The correct and timely submission of the declaration provides a number of advantages:

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✅ Compliance with tax legislation— fulfillment of all requirements of the State Revenue Service (VID).
✅ Tax optimization— the possibility of recovering part of the taxes paid or reducing the tax base.
✅ Avoidance of penalties and sanctions— the timely submission of the declaration helps to avoid possible tax penalties.
✅ Financial transparency— the income statement facilitates lending and investment processes.
✅ Access to tax benefits— the possibility of reducing the tax burden through eligible expenditure on treatment, education, donations and other categories.

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What income must be declared?

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Individuals must declare different types of income:

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✅ Salary and other income from work— including bonuses and surcharges.
✅ Income from business— if the person is self-employed or is the owner of a business.
✅ Income from the rental of real estate- rental of apartments, houses or commercial premises.
✅ Income from investments— dividends, interest on deposits, sale of shares and securities.
✅ Profit from the sale of property— real estate, vehicles and other assets.