Before Filing Your 2024 Annual Return: Practical Recommendations

April 9, 2025

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Hector Galicia

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Annual tax return season can be a great opportunity to optimize your personal or business finances, but it also requires a careful review of your income, deductions, and tax compliance. Below, we share some key recommendations you should consider before filing your annual tax return with the SAT:

1. Download and review your issued XMLs (income)

One of the key steps is to download the issued and current digital tax receipts (CFDI) directly from the SAT portal. This download will allow you to reconcile your issued invoices with your accounting records.

What should you check?

  • That there are no duplicate invoices.
  • That invoices declared as income have been effectively collected.
  • Don't keep accumulating invoices that haven't been paid correctly.
  • That you are not including uncollected income that unnecessarily increases your taxable income.

2. Download your received XML (expenses and deductions)

Just as you review what you billed, you should also review the invoices you received that you plan to use as deductions or credits.

Check that:

  • The bills are paid.
  • Match your accounting records.
  • Comply with tax requirements, especially the criterion of strict indispensability.

The latter is key: the expense must be necessary for your economic activity.

3. Identify and reconcile your personal deductions

If you're an individual, personal deductions can help you reduce your taxable income. Make sure you:

  • Check that personal deductions appear correctly in the SAT viewer.
  • Compare what the SAT has recorded with your own receipts.
  • Verify that they are issued in your name, with the correct RFC, and with an identified payment method.

4. Consider additional income to declare

In addition to your income from business, professional activities, or salaries, remember that you must also report:

  • Donations received.
  • Loans greater than $600,000.
  • Prizes, inheritances, transfer of assets, among others.

The SAT has already recorded many of these transactions, so it's important not to overlook them.

5. Do you have a balance or tax due?

Once you have reconciled all your information and determined the outcome:

  • If you have a balance in your favor, you can request an automatic refund.
  • If you have tax to payYou can choose to pay in installments directly through the SAT system, provided it's convenient for you and you meet the requirements.

Conclusion

Filing your annual tax return doesn't have to be a complicated process if you keep good accounting records and perform a prior reconciliation of your issued and received invoices. Take advantage of this opportunity to gain clarity about your tax situation and, if necessary, consult a specialist who can support you throughout the process.

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Written by Hector Galicia

Public Accountant with more than 15 years of experience advising national and foreign clients. He currently serves as a founding partner of the Public Accounting firm Tax ID Mexico. info@taxid.mx

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