Around 25.4 thousand lek is the amount of compensation that an individual with an income under 1.2 million lek, and with 2 dependent children under 18 years of age, will receive after completing the Annual Income Declaration (DIVA).
"Monitor" brings the example of an individual who has just completed DIVA with a gross income of under 1.2 million lek and with 2 dependent children, who was recognized for expenses worth 96 thousand lek for childcare and expenses of 100 thousand lek for education, in order to specify the value of the compensation.
DIVA is being filled in by the individual for the first time. The declaration is generated with previously filled in data, including annual income and tax paid. Only the number of dependent children and the expenditure of 100 thousand lek for education are determined from it, given that the income of the declarant is below 1.2 million lek per year and he has the justifying documentation for this expenditure. After filling in this data, the system automatically calculates the overpaid tax, i.e. the compensation.
The deadline for completing and submitting the declaration is March 31, 2026.
Specifically, according to the newly completed DIVA data, the gross annual income of a teacher in a public high school for 2025 was 1,189,374 lek.
The annual tax paid during 2025 is in the amount of 107,820 lek.
She has two children, ages 5 and 9, one of whom is attending secondary school at a private school.
Given that the annual income is below the limit of 1.2 million lek, the individual is not required to complete the Annual Income Declaration. However, since the entry into force of the new law "On Income Tax" allows for compensation for children's education, the DIVA has been completed for the first time.
After opening the new declaration, the data is generated pre-filled.
For the individual who has completed the DIVA for the first time, only the number of persons under the declarant's custody has been added to the declaration in the column "Persons under the declarant's custody" and the value of 100 thousand lek has been added to the column "Expenses for children's education", given that the income does not exceed the limit of 1.2 million lek per year, i.e. is below 1.2 million lek per year and has the supporting documentation, in this case private school receipts for the child's education expenses.
After entering this data, the system automatically generated the overpaid tax, or compensation, worth 25,481 lek.
Specifically, based on the data in DIVA, the individual has benefited from:
-Deduction from employment income according to article 22, point 1, letters a, b and c worth 360,000 lek
-Compensation amount for each dependent child under 18 years of age worth 96,000 lek (this amount was automatically generated by the system after setting the number of children)
- Expenses for children's education worth 100,000 (the value was added by the declarant when completing the DIVA, as he has documentation justifying the expenses in case of tax audit and the gross annual income is below 1.2 million lek)
After deducting expenses, the total gross income reaches 633,374 lek.
The recalculated tax after deducting expenses is 82,339 lek.
The overpaid tax results in: 107,820 lekë (tax paid for 2025) – 82,339 lekë (recalculated tax after deducting expenses) = 25,481
25,481 is the value of the compensation that this individual receives as compensation for the education of their children.
Example of education compensation for a parent with 2 children
A teacher at a public high school with an annual income of under 1.2 million lek and two children under 18 (one of whom attends a private school) completed the Annual Income Declaration (DIVA) for the first time for the year 2025.
-Gross annual income: 1,189,374 lek
-Tax paid during the year: 107,820 lek
-Number of children under care: 2
-Childcare expenses: 96,000 lek
-Expenses for children's education: 100,000 lek
The following are deducted from gross income:
-Employment discount: 360,000 lek
-Discount for each child under 18 years old: 96,000 lek per child
-Expenses for children's education: 100,000 lek
-After these deductions, the annual gross taxable income becomes: 633,374 lek
-Recalculated tax on this amount: 82,339 lek
-Previously paid tax: 107,820 lek
-Recalculated tax: 82,339 lek
-Compensation received by the parent = 107,820 – 82,339 = 25,481 lek
Taken from Monitor
