Hi all, i think i basically understand this - Capital gains on house sale. All gains are potentially taxable in Portugal 25% tax rate for all non-residents 50% reduction of profit then taxed at your personal tax rate for residents / Portuguese. Only exemption - applies to your main home - if you re-invest the sale amount in a new property to be your main home anywhere in the EU - then you have no tax liability. Question - When can you sell that 'new' home and have no capital gains to pay ? I ask because for most of the EU countries there are no capital gains applicable to the sale of your main residence. This is an example of what could happen now Sell main home in Portugal for 500k profit - 100k Buy new house in UK for 500k Sell new house in the uk 1 year later for 450k - loss of 50 k in a falling market Potentially tax owed to Portugal on the original 100k profit or at best the 50k loss is allowed. Or in a rising market sell house in uk for a further 50k profit - no capital gains in the UK - but what rules apply to the portuguese profit invested ? So does anyone know the timescale that applies to the re-investment in main home legislation - i can't find it anywhere on the internet ? Many thanks
I will attempt to condense an extremely convoluted story : I bought a flat in a building with two storeys - ground and first floor, and a roof terrace on the top : 'Cobertura Visitável'. It had originally been one family dwelling, but had been converted into two separate residences in the 1990's. BEFORE I purchased the ( First Floor ) flat I enquired very closely and specifically with my intended conveyancing Solicitor as to whether ( as the Vendor insisted but I knew I could not rely on his assertions ) it was the case that the First Floor Flat had EXCLUSIVE rights of access to and usage of the Cobertura : without such an assurance I could easily have declined to purchase and in fact buy elsewhere. The Solicitor gave me an absolute assurance, in writing, that the Ground Floor Flat had no legal rights in relation to the roof Terrace and that I could purchase with confidence of total privacy on the roof - my exclusive use. As I say the whole nightmare, as it has become, is complicated, but the issue I cannot resolve and need to is that now the Ground Floor owner is indeed asserting that his family always had and still maintain a right to access the roof. ( The stairs go through my flat to the roof, not even outside the building ). It turns out that the Escritura dividing the house did not ( allegedly ) follow exactly the Documentation registered on the house - dividing at the Câmara Municipal; and that therefore there is some ambiguity as to access rights to the roof, whether exclusive to my flat or shared between the two. My point is : I would never ever have purchased this flat without the categoric assurance given by the Solicitor : without the guarantee of privacy of usage I can neither calmly enjoy the flat, nor sell it. Do I have recompense against the lawyer for professional negligence ? If so - how to pursue ? Do Solicitadores have some compulsory insurance for compensating clients who have suffered through their negligence ? Or what potential remedies exist ? Does anyone reading this have knowledge specifically re claims against possibly negligent solicitadores ( NB different from Advogados ) ? Or lawyers who have a track record of success in pursuing their fellow lawyers ( always difficult I know ) ?
My brother has died suddenly in Olhao. The family is trying to gather information on what we need to do. I live in Australia but my siosters who live in England will be arriving in Olhao today 4/10/2015. We know he died in hospital but we don't know which hospital and as he lived alone we know very little about any illness. Please help - Lynne
I appologize if I missed something already posted on the forum but it looked like most of the posts on this topic were several years old. We just got our 1 year Residency Permit through Mar 2016! We are from the US where we have an operating business but we are looking forward to eventually working in Portugal as well. Probably mostly freelance but we want to be open to employment should the opportunity present itself. I assume that my next step is to get "fiscal numbers" from the Servico de Financas for each of us. Right? Then do we have to open a bank account here? What would be the benefits/drawbacks? Which banks have the best reputations and rates? Many thanks in advance for taking the time to share your wisdom! Warmly, Ivana
I recently moved to Lisbon from the Algarve while in the process of obtaining my residencia from SEF. SEF told me to go to Segurança Social to advise them of the change, but they told me I had to wait for the residencia to be finalised. I'm going aroung in circles! What should I do?
I have some questions about the Municipal Tax - IMI bill. Can someone help? Can you please give me the Login Website Address ref IMI tax payment? If I will not be in Portugal this October/November to receive the IMI bill in the post? Will the Finance Section in Albufeira E-Mail me the Bill? What if I have to make a payment late?
A highly informative article outlining the upcoming change in the EU Inheritance directive is available to read. The easy to read article gives wonderful examples and clarity to what might otherwise be a challenging piece of information. Use this link to read the article: http://blogs.angloinfo.com/angloinfo-world-money/2015/07/21/european-union-inheritance-rule-changes/
My aunt, who is widowed wih no children, has recently been discharged from hospital but is at home and in need of full time care. some friends ar helping out in the short term but I am trying to find professional help. Can anyone advise any companies who provide such a service in the Lagoa area.either I have found the 'greataupair' website but that seems to be just website for carers to post a CV . i dont live in Portugal, so any local advice or guidance would be apprecaited thanks
Hi everyone, I've been transfer in Lisbon by my compagny and I am going to work (half time) as an aircraft pilot. I found a nice place for rent in Cascais and have to apply now for a NIF number. As I am french and will go back on my off time in France, some of my colleagues told me that I should ask for a non resident NIF number and that I will not have to pay any taxes in Portugal... Is that true ? Shall I simply ask a non resident NIF number to the Financial office in Cascais ? Just to give you more details about my situation, I am self employer and my buisness is in Ireland. I do pay taxes over there actually... Thanks for your help.
Hi,Earlier I made a post a company tax issue and outstanding debt. Does anyone knows the liability of the owner? My company was Unipessoal Lda. (limited liability), what are the legislation about company owner and tax penalty? If I am liable, should I contact an accountant or a lawyer? Thanks
Hi, In late 2008, I registered a company that was operating more than a year (until 2010), though there was no activity, and it was reported zero. At that time, periodic tax deceleration was reported by the registered accountant. I was also paying the minimum social security for that period, as an employee to myself. I moved from Porugal to another EU country in January 2010, left the tax issue and social security as it was, and stopped my agreement with the accountant. Since 2011, I tried to contact the accountant to ask his help for declaring tax and resolving the company, but couldn’t reach him. Recently, I contacted other accountants, and they said they need the password to login into fiscal service. The only thing I could do then, was to change my address to where I live now. Yesterday I received a letter, with the headline : notificação de penhora de créditos.. With the broken translation of Google, I understood that there is an obligation of 2780€ should be paid? Or deposited? I am willing to close down this business and end the mess. Any help is truly appreciated. Many thanks. viivin
Information on key security and political risks which UK businesses may face when operating in Portugal. This report looks at the intellectual property, organized crime, human rights, bribery and corruption and terrorism risks that UK businesses may face when operating in Portugal. We noticed that the report has just been updated and published on the gov.uk website. You can find it here: https://www.gov.uk/government/publications/overseas-business-risk-portugal
We are considering a move to Portugal as my husband has been offered a job there. We are British expats and currently receive rental income from a property we own jointly in the UK. We are already registered with HMRC as non resident landlords and are set up for self assessment. Am I correct in thinking that, once resident in Portugal, we will have to pay income tax on our UK rental income in Portugal as well as the UK? ie. whatever the difference is between what we pay in the UK and the Portuguese rate? Many thanks.