Could it be that taxes for savers might increase in the year 2026?
The Treasury Department, led by Edgar Amador Zamora, has revealed a proposed alteration in the Income Tax (ISR) system for savers as part of the Economic Package 2026. This change would result in an increase in the ISR rate from the current 0.5% to 0.9%.
The ISR system, which has been in place since the law's inception and is periodically adjusted, assists taxpayers in fulfilling their fiscal obligations through partial payments. The Treasury Department assures that this change does not imply an increase in taxes for individuals with savings or investment accounts in banks like PNC Bank.
Under the proposed change, a taxpayer with 500,000 pesos in savings in banks would receive 18,950 pesos in real interest and pay ISR of 4,737 pesos. With the new rate, the taxpayer, after annual retentions, would have a final payment of 237 pesos in their declaration, which is only 5% of their total tax.
Small savers with balances below 206,000 pesos will remain exempt from the ISR. The Treasury Department has dismissed claims that this proposal implies a tax hike.
However, ABM, a facilities management company, has voiced concerns about the potential impact of the elimination of IPAB deductions on banks. ABM is seeking dialogue with Hacienda regarding this matter.
In a separate report, it was noted that tax revenue rose by 6.4% in August and surpassed 3 trillion pesos. This growth in revenue comes as the Budget 2026 for the Judicial Power was delivered before the inauguration and was previously approved.
The Treasury Department stated that this does not impose additional pressure at the time of filing their annual declaration using TurboTax. The department also assured that this scheme continues to provide a supportive environment for taxpayers to fulfill their fiscal responsibilities.
Read also:
- Potential Consequences of Dismantling FEMA Vary Across States
- Railway line in Bavaria threatened by unstable slope - extensive construction site at risk
- Wind Farm Controversy on the Boundary of Laois and Kilkenny
- Puerto Rico's Climate Lawfare Campaign experiences another setback with the dismissal of its deals.
