How much money can you have in your savings account before it passes Tax to beat cash for taxes or for an assessment? The Italian people have always been devoted to saving and for this very reason there are many Italians who choose deposit accounts or savings books to store and keep their money safe.
If these financial instruments, however, keep savings safe from any ill-intentioned people, the same cannot be said for the Tax which demands not only the payment of taxes on savingsbut it can check also the amount of assets deposited to understand if there are discrepancies with the declared income.
In the last period especially, the tax pressure that weighs on savings, whether kept in accounts or invested, is definitely increased. In fact, any amount resulting from savings held in deposit accounts, savings accounts or current accounts is subject to taxation, as is any other gain made with various financial products.
How much money can you have before you have to pay taxes on it?
Even for those who save there is no peace and serenity. If you have money saved, deposited or invested, taxes are due on it. The first tax that is applied is thestamp duty which weighs on current accounts and savings books.
For natural persons, stamp duty is due when the average balance in the current account or savings book is greater than 5,000 euros, and is equal to 34.20 euros for each year where the inventory exceeds that amount.
For current accounts and savings books of companies and associations the amount of stamp duty is 100 euros, but without a minimum balance.
To calculate the average balance for the application of stamp duty, you must add all the daily balances and then divide the result by the number of reporting days. If the average result exceeds 5,000 euros, stamp duty is applied (2.85 euros for each month in which the average balance exceeds the limit amount; there are also institutions that charge quarterly, half-yearly or annually, in based on what the signed contract provides).
Stamp duty on deposit accounts, what changes?
When you choose as a form of saving deposit account we must also consider the stamp duty which does not affect earnings, it is, in fact, an indirect tax calculated on the average account balance over the year.
Keep in mind that not all deposit accounts provide it and that some credit institutions have chosen to bear the cost of the tax as part of the offer to customers. To find out, therefore, whether you have to pay or not, it is best to ask your institution.
When the deposit account stamp duty is due it is equal to 0.2% of the restricted amount and it is due only when the average stock exceeds 5,000 euros. Unlike what is foreseen for the current account and the savings book (the stamp duty never exceeds 34.20 euros per year) for deposit accounts There is no maximum limit and is calculated proportionally to the amount.
It applies only to restricted sums (those that the customer cannot use) and does not affect the profit generated by the accrual of interest.
Let’s take a practical example: if you have a deposit account with 7,000 euros tied up opened on 1 January 2024 and maintained until the end of the year, how much will you have to pay in stamp duty?
The stock exceeds 5,000 therefore the stamp duty of 0.20% applies:
7,000 x 0.20% = 14 euros stamp duty.
The tax must be paid based on the days of filing. This means that if the same deposit account was opened on 1 June and maintained until 31 December, the stamp duty will be equal to:
7,000 x 0.20%) x 202 (the days the deposit account is open
/ 365= 7.74 euros stamp duty.
Taxation of financial income and interest
Even if for some years now the interest accruing on current accounts and savings accounts has been negligible, any interest accrued is subject to a withholding tax of 26%.
In administered savings the taxation of capital gains or of capital gains it is applied by intermediaries and, therefore, the customer receives only the net amount. The 26% tax is applied on every capital gain obtained from: bonds, ETFs, shares and funds. As we have said, this taxation is also applied to any interest on current accounts, savings accounts and deposit accounts.
As regards, however, investments in government bonds taxation is facilitated and provides a rate of 12.5%. This taxation applies to capital gains from Bot, BTP, Cct and Ctz.
How much money can you have in your account before it goes through the IRS for an audit?
It’s not just the tax ax that puts savings at risk. The tax authorities, in fact, can access various financial reports such as current accounts, deposit accounts, savings accounts, stocks and bonds for root out tax evasion. You must therefore pay attention to the sums you deposit.
Be careful, it is not risky to have substantial savings that grow over time, the important thing is that there are no deposits in a given periodwhich are not consistent with the declared income.
If, for example, I earn 30,000 euros a year, it is suspicious that 20,000 euros are earmarked for savings. This, obviously, does not mean that you cannot deposit the 20,000 euros, but only that you will then have to have supporting documents for that amount in case the tax authorities carry out checks.
To carry out these cross-checks between deposits and what is declared, the new tool put in place by the Tax Office to ferret out the crafty people, theAnonymometer which allows you to combine the data of financial reports with those in the possession of the tax authorities in a completely anonymous way which extracts the taxpayer’s data only if anomalies emerge.
