Tax and Customs Authority

Binding Information relating to Case No. 7386, of 22 October 2014, published on 4 November 2014

Taxable value – Re-debit excluding the margin of the Single Road Tax (“IUC”) assessed in the year of registration

The IUC paid by the seller prior to the delivery of the vehicle to the respe ctive purchaser, which is passed on to the latter, when included in the vehicle’s sale price, is not subject to VAT.

In this case, the relevant invoice must indicate the value of the IUC passed on to the purchaser of the vehicle and include the reference “Not subject to taxation” or “Not taxed”.

Tax and Customs Authority

Binding Information relating to Case No. 7043, of 22 October 2014, published on 4 November 2014

Invoicing – Advance Payments – Self-billing – Commission Contract signed by an organisation and its associates

Whenever advance payments are made, VAT is payable at the time of receipt of such sums and an invoice must be issued, even when dealing with payments relating to transfer of assets between principal and agent, in the context of which the obligation of the former to deliver to the State the tax relating to the transfer of assets to the latter only arises upon sale of the final product by the agent .

Tax and Customs Authority

Binding Information relating to Case No. 2013 003058, of 4 December 2013, published on 20 November 2014

Entities subject to the tax transparency regime may benefit from the tax  benefits provided for in Law No. 49/2013, of 16 July, which approved the extraordinary tax credit for investment (“CFEI”).

The deduction which would appertain to the company under the CFEI is attributed to its members and the limits of the tax deduction allowed under this regime are assessed considering the tax that would be due by the transparent entity if the tax transparency regime would not be applicable to it.

Tax and Customs Authority

Binding Information relating to Case No 205.20.10-104/2014, of 31 October 2014, published on 18 November 2014

The reporting to the Tax and Customs Authority of the retail prices of manufactured tobacco products and their subsequent changes may be made either by manufacturers established in another Member State of the European Union without tax warehouse in Portugal, or by their representatives established in the national territory.

However, if manufacturers established in another Member State of the European Union have a representative in the national territory, and if they report the prices or changes thereto directly to the Tax and Customs Authority, they must prove that the representative is aware of the prices or changes reported.

Tax and Customs Authority

Circular-Letter No. 35.035/2014, of 19 November 2014

Clarifies the customs jurisdiction rules regarding the Tax on Vehicles, notably the jurisdiction provisions related to the acceptance of the customs declaration of vehicles, to the analysis and decision of the exemption requests and to the analysis and dec ision of the requests submitted under the regime of temporary admission/importation.