Are you entitled to get the Youth IRS? Learn how it works.
Are you between 18 and 26 years old and already working? You may be entitled to the Youth IRS for five years. Find out if you meet all the requirements and what exemptions you can access next.
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IRS Youth: What requirements should I meet?
The IRS filing begins on April 1st, but not everyone does it the same way: if you are under 26 years old, you may be entitled to the Youth IRS for up to five years.
Through some requirements, this regime allows young workers to have access to a greater tax exemption.
To access IRS Young, you must meet the following requirements:
- To obtain income from dependent work (category A) professional or business (category B), for the first time after completing a study cycle equal to or higher than high school education.
- To be between 18 and 26 years old;
- Not be considered dependent;
- Have up to 30 years in the case of the completed study cycle being a doctorate.
What are the fees and exemption limits?
In order to extend the tax-exempt income of young people, the Government proposes that young people do not pay IRS during the first year of work.
Even though the maximum limit corresponds to 40 times the Social Support Index (IAS), currently at 509.26 euros, in the first year the exemption is 100%.
Pay attention to fees and limits, according to the years:
- 1st year: 100% exemption, with a limit of 40 IAS;
- 2nd year: 75% exemption, with a limit of 30 IAS
- 3rd and 4th grades: 50% exemption, with a limit of 20 IAS.
- 5th and final year: 25% exemption, with a limit of 10 IAS.
These measures regarding IRS withholding have been in effect since January, so Young IRS must be applied to withholding every month on the gross salary. For this, the employer must be informed that they will opt for Young IRS.
If not reported, not opting for withholding tax, you will only feel the impact of the change when filing the IRS return for 2025, regarding the income of 2024.
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