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Writer's picture Itzel G. Reynoso Alcala

Are you a wage earner and don't know what you can deduct?


If you are a salaried individual and are unsure what you could deduct from your annual tax return, and this year you don't want to make the same mistake, we inform you about expenses you can deduct from your annual tax return.


What are personal tax deductions?



A personal tax deduction is a reduction of the total amount of a person's tax liability upon encountering a payment that lowers their taxable income. These are usually personal expenses related to the basic needs of a wage earner that can be deducted from their income earned throughout the year they worked, which are subtracted from their gross income to calculate the amount of taxes owed or owed.

As a salaried individual, you can deduct the following:

Health

  • Medical, dental, psychological, and nutritional fees.

  • Hospital expenses and medicines included in hospital bills.

  • Fees for nurses.

  • Analysis, clinical studies.

  • Purchase or rental of rehabilitation equipment.

  • Prosthetics.

  • Purchase of prescription glasses.

  • Premiums for medical expense insurance.

Conditions

  • They are deductible if provided by individuals with a professional title.

  • Pharmacy receipts are not eligible.

Education

  • Tuition fees at private educational institutions with official accreditation. Preschool to high school level. To avail of this benefit, you need to have the corresponding proof of payment.

  • When making payments in the same fiscal year, by the same person, for teaching services corresponding to two educational levels.

  • Registration or re-registration fees cannot be deductible.

  • School transportation, only if mandatory.

Other

  • Funeral expenses for your spouse or partner, as well as for your parents, grandparents, children, and grandchildren.

  • Real interest accrued and effectively paid for mortgage loans, intended for your primary residence, contracted with the financial system, INFONAVIT, or FOVISSSTE.

  • Donations made to authorized institutions to receive donations.

  • Voluntary contributions to your personal retirement plans (Afore).

  • Payment for local taxes on salaries.

It is worth noting that the payment of these expenses must be made by nominative check, electronic transfer, credit card, debit card, or service card. Deduction is not allowed if the payment was made in cash.

Now that you know what you can deduct, remember that when making any of these expenses, there must be a trace that the money is yours, emphasizing that cash should not be used for payment and requesting that your expense be invoiced, to obtain deductions in your tax return and thus get a discount on the tax payment.

Calculate all the deductions you can make and get ready to enter them in your 2024 annual tax return.

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