How to Increase Your IRS Tax Refund This Year
The IRS filing season is just around the corner and, as every year, there are important details you can take advantage of to reduce your tax bill or increase your refund. At Grupo Your, we want to help you make the best tax decisions - so we've gathered five essential tips for this filing season.
1. Enter expenses manually
If you didn't validate all your expenses on e-fatura in time, or have expenses not listed there (such as education expenses abroad), you can still enter them manually in section 6-C of Annex H. Always keep supporting documents for four years in case the Tax Authority requests them.
2. Don't forget domestic service expenses
Since 2025, you can deduct 5% of domestic service expenses, up to a limit of €200. If they don't appear pre-filled, enter them manually in section 6-C of Annex H, in fields 680 to 682, with code 666.
3. Consider aggregating term deposit and savings certificate interest
This option may be worthwhile if your annual taxable income is below €22,306. In that case, the tax rate will be lower than the default 28%. Always simulate both options before submitting your return.
Use our IRS simulator to compare scenarios before deciding.
4. Young people earning up to €8,500 don't need to file IRS
Taxpayers in this situation are exempt from filing - and choosing not to file can even protect years of IRS Jovem benefit, which can be used in future years with higher income.
5. Don't accept automatic IRS without checking
Automatic IRS is convenient, but it's not always the best option. Always simulate the manual return before accepting the automatic proposal - there may be missing data or options (such as joint filing) that result in a higher refund.
Have questions about your IRS return? The Grupo Your team is available to help you optimise your tax situation. Contact us.
This article is for informational purposes and does not replace advice from a certified accountant. For a personalised analysis, check our tax advisory services.
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