The end of the year is always the last date when it is possible to fully deduct subsidies to financial products. How to get the most out of pension, life insurance or building savings at the end of the year?
The tax base can be reduced by a maximum of 12,000 K for contributions paid to the pension fund and by the same amount sent by the insurance company for life insurance. The total reduction of the tax base by 24,000 K answers a specific tax levy from 2,880 to 7,680 K. In disputes, it is deducted from the client’s income (in which tax dog is located) and from the payment to the financial product.
Because the first 500 K of a month is paid by the pension participant, it is more convenient to pay a stipend, so that the left tax applies and the departure. The maximum deduction from the tax base is 12,000 crowns and applies to clients who are not more than 6,000 crowns. Attention! If you pay a supplementary pension, for example, 1,500 K msn, but the total payment this year did not reach 6,000 K (for example, due to the conclusion of the contract and at the end of this year), do not get a day tax benefit for this year.
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The amount needed to obtain the maximum tax dispute, ie 18,000 K minus payments for the supplementary pension during the year, it is necessary to remit to the pension fund in December once. For pension funds (with the exception of those who provide special services, see table no) it is necessary to announce in writing (usually by letter and fax) that the external payment in December is used to obtain tax levies for this year.
If the pensioner’s pensioners did not do this, the pension fund would take the deposit in December as a subscription for another period and the tax levies for this year would not be achieved. It is not necessary to notify the fund in writing of an extraordinary contribution for the following funds, only provided that the following agreement is agreed:
|Pension fund||Name of the service|
|Alliance PF||Daov automatic|
|SOB PF Established||Comfort|
|SOB PF Progres||Optimum|
|ING PF||Daov optimum|
If you do not have a pension connection yet, it is possible to get a dispute for new contracts this year as well. The effect of the contract activity must be as of December 1, 2006.
|Ve msn loky (K)||1 000||1 300||1 500|
|Ron daov dispute rate 12%||720||1 152||1 440|
|Ron daov dispute – rate 19%||1 140||1 824||2 280|
|Ron daov dispute – rate 25%||1 500||2 400||3 000|
|Ron daov dispute – rate 32%||1 920||3 072||3 840|
Note: The tax levy depends on the high rate of personal income tax taxable income
A life allowance is not provided for life insurance, therefore the left tax is provided for all premiums paid up to a limit of CZK 12,000. The condition is that the contract meets the final conditions (contract with an insurance period of at least 5 years, payment in full at the age of 60, etc.).
If less than 12,000 K was paid for life insurance this year and it is necessary to obtain the maximum tax levy for this year, it is possible to pay this amount in the form of an extraordinary insurance premium. This option is the bottom of the bag only for some flexible products that wash extra insurance.
Please note here that the extra insurance must be sent under a different designation than the normal payment of the insurance (most often the insurance company is required to pay a specific symbol when paying the extra insurance).
In case you do not have a life insurance yet, it is possible to get a dispute for this year even for new contracts. The flow of insurance must be in December. For life insurance, which automatically arises on the first day of the following month, ie 1 January 2007, this option does not.
|Ve msn loky||500||1000|
|Ron daov dispute – rate 12%||720||1440|
|Ron daov dispute – rate 19%||1140||2280|
|Ron daov dispute – rate 25%||1500||3000|
|Ron daov dispute – rate 32%||1920||3840|
Note: The tax levy depends on how high the rate of personal income tax is the income of the taxpayer
In addition to pension and life insurance, the building also includes a building society. Even in the case of building society contracts, a one-off deposit of up to 18,000 K and 20,000 K will be made in December in order to receive full support in the amount of 3,000 K and 4,500 K, depending on the type of contract. This option is the bottom of all contracts and it is not necessary to announce anything to the building society. As with the product, payment to the financial institution should arrive by the end of December at the latest.