Tax and Customs Authority

Office of the Director General – Personal Income Tax Services

Circular Letter No. 7/2014, of 19 July 2014, published on 4 August 2014

The special Personal Income Tax regime of capital gains arising from micro and small  enterprises applies provided that the material requirements for the attribution to such company of the micro or small enterprise status were met as at the time of the sale or  transfer of the holdings. In this context, the status of micro or small enterprise does not depend upon the  certification issued by IAPMEI – Agência para a Competetitividade e Inovação, I.P.

Tax and Customs Authority

Binding Information relating to Case No. 7148, of 1 August 2014

Regularisations  – Merger  – acquiring company settling the VAT (the unpaid  part) relating to amounts receivable of the acquired company, claimed in the  PER, and not challenged, approved by the judge

Following a merger by incorporation, the  incorporating company may recover Value Added Tax (VAT) relating to receivables of the incorporated company deemed as  unrecoverable  and claimed  within a Processo Especial de  Revitalização (Special  Revitalization Procedure) and not challenged, certified by the judge.