Seven tips for a successful Income Tax Operation 2025

Keeping your information updated is essential to maintain communication with the SII, otherwise you may not receive relevant information on this and other processes.

What to do?

• Verify that your address is correctly informed.
• Update your means of contact -email and telephone- to receive information, alerts and/or notifications.

Practical advice: If you have investments or any other activity that may generate taxes, make sure that the economic activity code reported to the SII is updated.

Having all your financial and tax information organized can make the difference to avoid errors or delays.

What Chilean or foreign documents could be essential?

• Dividend, interest or capital gains certificates.
• Proof of purchase and sale of shares, funds or other financial assets.
• Real estate purchase documents.
• Contracts and payments received for property leases.
• Bank statements of current or investment accounts.

Practical advice: If you are a taxpayer who has investments both in Chile and abroad, it is useful to organize your information in an Excel file in which you record all your income and its country of origin, as well as the associated expenses and taxes paid. This facilitates the preparation of the return and the verification of data.

As a Chilean resident, you must report all income received during the year 2024, regardless of its origin:

What should I include? Some examples:

• Remunerations or fees obtained.
• Dividends and interest generated by investments.
• Income from leases of located properties.
• Capital gains from sale of assets (stocks, funds, real estate, etc.).

Practical advice: Check if you can apply the “credits for taxes paid abroad”, considering if the country of origin has a Double Taxation Avoidance Agreement (DTAA) with Chile.

There are several tax benefits that can reduce your tax burden, so we recommend that you get proper advice before filing your tax return:

What are these benefits? Some examples:

• Rebates for education expenses for your children.
• Deduction for mortgage interest on properties in Chile.
• Use of the Credit for Taxes Paid Abroad to avoid double taxation.

Practical advice: Review Form 22 and its codes for the registration of these benefits.

With the entry into force of the Tax Compliance Law, the scope of control of foreign entities and the way in which the relationship between taxpayers and passive income generated abroad is determined is significantly expanded.

What to do?

• Review all income generated by your investments and those of your related parties.
• If they exceed the threshold of 2,400 UF, you must include such income in your Chilean Income Tax Return.

If you are a taxpayer who has assets outside Chile, you must comply with the obligation of declaration established by the SII:

What should I declare and how?

• Bank accounts, financial investments, properties, and other assets abroad.
• Make the Sworn Statement No. 1929, whose term expires on June 30, 2025.

Practical advice: Do this procedure in advance to avoid unnecessary errors or fines, since the non-declaration of assets can generate fines of up to 100 UTA (approximately $6,000,000) and additional reviews by the SII.

Use the SII tools to anticipate the result of your return.

Why is it useful?

• It allows you to verify the data preloaded by the SII and corroborate its veracity, giving you the possibility of detecting inconsistencies.
• You can also see the impact of including foreign income and calculate applicable tax credits.

Practical advice: Perform simulations in time and adjust your return if you find errors in the pre-filled data.