The Treasury does not usually write off their debts, but there are times when these can be so small that it is not worth embarking on a bureaucratic disaster for a few euros. Since the end of last year 2022, the tax authorities have been exempting people who owe less than three euros to the administration. All this after the publication at the time in the Official State Gazette.
It is in November 2022 that the BOE made official that the Treasury would cancel debts of more than three euros, according to a joint resolution obtained by the General Intervention of the State Administration and the General Directorate of the Tax AgencyThe main reason for this decision, established three weeks after its publication in the Official State Gazette, was purely economic.
For this reason, it was reported at the time that for debts of less than three euros, the tax administration would not continue with the management of the recovery for “strictly economic” reasons, since their amount is “insufficient” to cover the costs. that its collection represents. In other words, it costs more to start a debt recovery process than the debt of the person himself. For this reason, the National Tax Agency has taken the decision to cancel and derecognize all transactions of the State Treasury collected by the National Agency for Tax Administration for an amount of less than three euros.
The decision also comes as a relief to people who had debts registered with the Public Treasury for a small amount that can have a negative impact when applying for a loan, mortgage or registering with a telephone company. Many people who owe a small amount of money tend to find themselves in this situation and end up having their payroll garnished, for example.
What the BOE says about debts to the Treasury
The Official State Gazette published its resolution on November 10, 2022, in which it indicated that it would enter into force three weeks after its publication. “In development of the provision contained in the aforementioned complementary provision, this joint resolution is issued, by which the cancellation and small claims are agreed for which the management of the recovery will not continue for strictly economic reasons, since the amount is insufficient to cover the cost that its collection represents,” the BOE indicated in its resolution.
As stated in the same resolution, its objective “is none other than to avoid recovery actions that imply zero benefit for the Public Treasury or for the achievement of the purposes entrusted to the Public Administration”. This is the case of liquidations whose collection generates costs greater than the resources that could potentially result from them.
Thus, in Title One “Cancellation and write-off of debts for payments made by the Tax Agency”, the Official State Gazette specifies the following: “All payments made by the Tax Agency will be cancelled and derecognized from the accounts. Tax Agency which gives rise to a debt awaiting recovery of an amount less than three euros as of June 1, 2022. To this end, the tax IT department will carry out the IT process allowing the deletion of the accounts of the aforementioned payments.
Thus, since the publication of this resolution in Official State Gazette and after three weeks, all debts of citizens who had an outstanding payment to the Treasury of less than three euros have disappeared. If you are worried about owing money to the Tax Agency It is very important to keep up to date and you can check it in the electronic headquarters in the “my debts” section, which you can access with the Digital Certificate. You can also contact the Treasury through any office by prior telephone appointment. Being in debt to the Administration does not bode well, especially in this tax collection period when the Government is preparing a tax blow for the last third of the year and for next 2025.
