Withholding the declaration means that the tax authorities have found discrepancies and correction or rectification is necessary, but how to avoid this type of situation? Check it out now in our article.

As the May 31st delivery deadline approaches, taxpayers who are still collecting documents will need to double their vigilance to avoid errors and the delicate web of federal tax authorities. IOB, an intelligent technology that combines content and technology to empower companies and accounting firms, clarifies what the dreaded fine mesh is and offers tips on how statements cannot be withheld.

What does it mean to fall into the fine mesh?

All declarations submitted to the IRS are analyzed by systems that, to verify veracity, cross-reference the information with data from natural persons who are also required to report to the IRS, such as: B. Companies, Financial Institutions, Individuals, Notaries, Real Estate, Government etc.

Falling into the net of fines or passing through the tax net (this is the correct name) means that when crossing this information an inconsistency was found that could be the result of omitted income, misrepresentation, incorrect values, etc. and his statement was separated for further analysis. In this case, the refund will not be released until the correction is made.

If the inconsistency is an error in filling out the program or forgetting details, simply correct the declaration. But the finer points can become a more serious problem if the taxpayer does not resolve the dispute or if it is proven that income tax evasion actually occurred.

Main mistakes made when declaring

Errors when filling out the declaration are quite common, especially when the taxpayer intends to increase the deductible amount of tax due or the refund. To avoid these mistakes and stay out of the tight net, IOB highlights the two main mistakes to watch out for:

• Declare expenses that you do not owe and do not qualify for the right to income tax deduction, such as: free courses (languages, sports), school supplies, aesthetic treatments, contact lenses, hearing aids, etc. These costs should not be included in the declaration.
• – Omit relevant data, such as B. receipt of certain taxable income. The amounts obtained, for example, when investing in the stock market or any other type of action/investment must be reported without exception, regardless of whether there was a profit or not.

It is important to highlight that anyone who has already submitted the declaration and wants to correct possible errors made can review and change the data as many times as necessary.

Including changing the standard (from complete to simplified) until the last day of the deadline, which as stated is May 31st of this year. After the deadline, the declaration model cannot be changed.

For those who have already delivered, but later remember a document, receipt or undeclared item, the right time to make corrections is before receiving the Intimation from the Federal Revenue Service. Therefore, it is important to attach the DIRPF declaration after the declaration.