Tax and Customs Authority

Personal Income Tax Services

Circular No. 20181/2016, of 4 January

Clarifies the interpretation of the Tax Authorities on matters regarding the Personal Income Tax’s forms in force since 1 January 2016, namely if they have to be submitted by paper means or by electronic means and the respective deadlines.

Tax and Customs Authority

Binding Information Concerning Case No. 9349, of 16 December 2015, published on 5 January 2016

VAT – Location of Operations – Electronical Services– Development of Applications for Mobile Devices Published Online– Payment through a commission

Clarifies that regarding a license agreement between a portuguese VAT taxpayer (licensor of the application’s intellectual property rights) and two taxpayers established abroad (licensees that promote and distribute the application), the services rendered are not located nor taxable in Portugal in accordance with the general rule stated in Article 6, paragraph 6, al. a) of the VAT Code. Therefore, the invoice issued to the Client should mention “VAT – reverse charge”.

Tax and Customs Authority

Binding Information concerning Case No. 8869, of 22 December 2015, published on 5 January 2016

VAT – Non-Taxation – Compensation

Clarifies, following the “Societé Thermale” Judgment – given by the Court of Justice of the European Union in Case C-277/05 –, that all payments made in advance as a reservation in an hotel must be considered an “advance payment”. Therefore, in case of cancellation from the Client, the taxpayer has the right to keep that payment, which is not subject to VAT.

Tax and Customs Authority

Binding Information concerning Case No. 7889, of 22 December 2015, published on 5 January 2016

VAT – Operating Subsidy -Grant

Clarifies that funding obtained by a VAT taxpayer can only be qualified as subsidy, under the terms and for the purposes of Article 16, paragraph 5, al. c) of the VAT Code, if (i) the amounts are previously determined and (ii) taking into account the total volume of services rendered or the number of units sold.

Tax and Customs Authority

Binding information concerning Case No. 20130003235, of 25 November 2013, published on 14 January 2016

Stamp Duty – Real Estate divided into Horizontal Property Regime

Clarifies that real estate divided into horizontal property is subject to Stamp Duty (item 28.1 of the General Scale of Stamp Duty) only if each separate unit has a taxable value higher than EUR 1.000.000,00, even if all of units are owned by the same person.

Tax and Customs Authority

Binding Information concerning Case No. 2014000343, of 18 February 2014, published on 14 January 2016

Stamp Duty – Legal Person – Form 1

Clarifies that free transfers of assets to Corporate Income Tax taxpayers (even to exempt ones) are not subject to Stamp Duty, there being no obligation to submit Stamp Duty Form 1.

Binding Information concerning Case No. 2014000422, of 11 June 2014, published on 14 January 2016

Stamp Duty – Interests due – Deadline’s Extension– Special Revitalization Procedure

Clarifies that remuneration interests due as a result of an extension of the term of credit operations, approved within a Processo Especial de Revitalização (Special Revitalization Procedure), are subject to Stamp Duty and do not benefit from the exemption foreseen in Article 269 of the Insolvency and Corporate Recovery Code.

Tax and Customs Authority

Binding information concerning Case No. 2014001471, of 27 August 2014, published on 14 January 2016

Stamp Duty – Credit Securitization Companies

Clarifies that Securitization Companies develop financial activities (issuance of securitized bonds to finance the acquisition and management of credits), being considered financial institutions by the EU legislation. Therefore, these companies are considered “other financial institutions”, being interests and commissions charged subject to Stamp Duty.

Tax and Customs Authority

Binding Information concerning Case No. 2014002879, of 28 November 2014, published on 14 January 2016

Stamp Duty – Assignment of the Contractual Position in a Lease Agreement

Clarifies that an assignment of the contractual position in a lease agreement, in which the lessee assigned his contractual position to a third party, has to be communicated to the Tax Authorities (even if Stamp Duty is not due), being subject to Stamp Duty only if the rent is increased.

Moreover, the binding information clarifies that the guarantee provided by the same guarantor for the benefit of the new lessee is considered a new guarantee, being subject to Stamp Duty.

Tax and Customs Authority

Binding Information concerning Case no. 2014003374, of 23 December 2014, published on 14 January 2016

Stamp Duty – Lending Contract

Clarifies that a (non-onerous) lending contract is not subject to Stamp Duty since 1 January 2009.

Tax and Customs Authority

Office of the Subdirectorate-General of the Area of Taxes on Assets Circular No. 40113/2016, of 20 January

Clarifies the interpretation of the Tax Authorities on the Road Tax taxable event, as well as the deadlines to its assessment and payment.