Everything you need to know

What is Form 145?

The Spanish Tax Agency’s Model 145 is a form that employees must fill out and submit to their employer to report on their personal and family situation. This information is used to calculate the Personal Income Tax (IRPF) withholdings.

The main objective of Form 145 is to adjust the income tax withholdings according to the personal and family situation of each worker. This includes marital status, number of children, and other factors that may affect the tax burden. By providing this information, it is ensured that the withholdings are as accurate as possible, thus avoiding significant discrepancies in the annual income tax return.

Who must file Form 145?

Workers who experience changes in their personal circumstances, such as changes in their marital status or number of children, must submit Form 145 to their employer. This includes both employees and those on temporary or part-time contracts. People over 65 years of age must also submit Form 145 if their personal circumstances affect their income tax withholdings.

Situations that require updating Model 145

It is essential to update Form 145 in various personal and family situations. Some of these situations include:

• Marriage or divorce
• Birth or adoption of children
• Change in the number of dependent descendants
• Changes in the degree of disability of the worker or his/her family members.

Updating this information ensures that personal income tax withholdings reflect the worker’s current situation, avoiding surprises in the annual income tax return.

What is Form 145 for?

Form 145 is a form issued by the Tax Agency in Spain.

This document allows you to adjust your IRPF (Personal Income Tax) withholdings taking into account circumstances such as marital status, the number of children or dependents, and any disability situation.

When should Form 145 be submitted?

Form 145 must be submitted at the beginning of the employment relationship and updated every time there is a significant change in the employee’s personal or family situation.

There is no fixed annual deadline for submission, but it is essential to communicate any changes as soon as possible.

Incorrect IRPF withholdings

This can lead to two scenarios:

• Insufficient withholdings will result in a higher amount to be paid in the annual return.
• Excessive withholdings will mean a lower net amount in the monthly payroll.

In both cases, this can create financial problems  philippines email list for the worker.

Information required in Form 145

Form 145 requires know what it is, how to submit it and when to submit it basic information from the worker such as full name, tax identification number ( NIF ), and contact  sms To data information.

Information on family situation: marital status, children and other dependents

It is crucial to provide details about your marital status (single, married, divorced, widowed) and the number of children or other dependents. This information directly affects the calculation of personal income tax withholdings.

Form 145 allows you to adjust withholdings for your income tax return, taking into account the deduction for external financing, income with a period, or the payment of alimony.

Indication of disability levels

If the worker or any of his/her family members has a disability, it is necessary to indicate the degree of the disability.

This may affect personal income tax withholdings, as there are specific deductions for people with disabilities.

Procedure for filling out Form 145

Form 145 can be obtained through the  Tax Agency’s website or by requesting it directly from its offices.

Copies of the form may also be available from companies’ Human Resources departments.

Let’s look at the step-by-step instructions for completing the form:

1. Personal information: fill in your full name, NIF and date of birth.
2. Family status: indicate marital status and add information about children and dependents.
3. Disability: indicate if applicable, including the degree of disability.
4. Signature and date : Sign and date the form before submitting it to the employer.

Let’s look at some practical examples and tips to avoid common mistakes:

• Review information before submitting: make sure all data is correct and up to date.
• Consult with Human Resources : If you have any questions, do not hesitate to ask your company’s Human Resources department for help.
• Update the form after any changes: Don’t wait until the end of the year to update the information, do so immediately after any significant changes.

How does Form 145 affect personal income tax withholding?

The information provided in Form 145 allows the company to calculate the personal income tax withholdings accurately.

Factors such as marital status, number of children, and disability influence the percentage of withholding applied to the worker’s gross salary.

Examples of impact on monthly payroll

Let’s look at some practical examples:

• Single worker without children: will have a higher IRPF withholding compared to a married worker with children, since family deductions do not apply.
• Married worker with two children: the withholding will be lower due to deductions for descendants.
• Disabled worker : additional deductions will be applied, reducing the personal income tax withholding and increasing the monthly net salary.