With the “curtain” on tax returns dropping in four days and more than 1 million individual returns and about 100.000 legal entity returns have not been submitted to date on the AADE platform, the scenario of a short extension remains on the table.

The finance ministry is currently excluding an extension of the deadline.

If no extension is granted, those who miss the deadlines will find that fines are “raining down” and in an automated fashion. The process ends next Friday, July 26, and there are about 1,200,000 tax returns left to be filed.

Extra taxes and fines for those who don’t file on time

Faced with fines of up to €500 and a tax surcharge, taxpayers who submit returns after the July 26 deadline will find themselves with the Finance Ministry currently ruling out extending the deadline.

Within a few days from today, more than 1.5 million taxpayers who have so far “turned their backs” on the AADE platform will have to “press the button” to send their tax returns in order to avoid “inflating” the account.

And that’s because based on the tax code those who submit late either initial or amending returns will be asked to pay independent fines of 100 euros if they do not engage in business activity, 250 euros if they engage in business activity by keeping single-entry books and 500 euros if they engage in business activity with double-entry books. In addition, taxpayers with debit statements will be charged interest of 0.73% for each month of delay from the tax payment deadline.

More specifically, the Tax Procedure Code provides

1. In case of late submission of an initial income tax return, a fine of EUR 100 is imposed. Especially if the taxpayer is engaged in business activity, the fine rises to 250 euros if the taxpayer keeps single-entry books or 500 euros if the taxpayer keeps double-entry books.

2. If the original late return had resulted in a zero result or a tax credit balance and the amending return resulted in an additional tax payment of up to 100 euros then no late filing penalty will be imposed.

3. In case the original late return had resulted in a zero or tax credit amount and the late amending return resulted in an additional tax payment of more than 100 euros, then:

If the taxpayer is not an entrepreneur or self-employed person, a fine of EUR 100 is charged.
If the taxpayer is an entrepreneur or a freelancer, a fine of EUR 250 is charged if the taxpayer keeps single-entry books or a fine of EUR 500 if the taxpayer keeps double-entry books.

4. If the original declaration in due time had resulted in a debit balance to be paid and the amending declaration results in a reduction of the debit balance, no fine is imposed.

5. If a debit balance had arisen from the original late declaration and the late amended declaration results in the same debit balance or an additional debit balance to be paid up to EUR 100, no fine shall be imposed.

6. If from the original late return there was a tax debit balance to be paid and from the late amending return there is an increase in the tax debit balance of more than 100 euros, if the taxpayer is not a businessman or a freelancer, a fine of 100 euros is imposed, while if he is a businessman or a freelancer, a fine of 250 euros is imposed if he keeps single-entry books and 500 euros if he keeps double-entry books.

7. No fine is imposed for late submission of an amending declaration if the relevant original declaration has been submitted in time.