&NewLine;<p><br>On September 20, 2024&comma; the Portuguese Tax and Customs Authority presented its business plan for the coming year&comma; placing the <strong>automatic tax benefits</strong> This new strategy is primarily aimed at stepping up the fight against tax evasion and fraud&comma; with the aim of improving tax fairness and justice&comma; while reinforcing security and protection through stricter management of fraudulent tax and customs behavior&period;</p>&NewLine;&NewLine;&NewLine;&NewLine;<h2 class="wp-block-heading">Automatic tax benefits - Portugal to tighten controls in 2024</h2>&NewLine;&NewLine;&NewLine;&NewLine;<p>The Business Plan of the Tax and Customs Authority &lpar;<a href="https://www.portaldasfinancas.gov.pt/at/html/index.html" target="_blank" data-type="link" data-id="https://www.portaldasfinancas.gov.pt/at/html/index.html" rel="noreferrer noopener">AT</a>&rpar; for 2024 focuses on several key areas to counter tax evasion and fraud&period; The&rsquo&semi;objective is to ensure greater tax fairness&comma; enhance public security and improve the voluntary compliance rate&comma; while increasing the perception of the risk associated with non-compliance with tax obligations&period;</p>&NewLine;&NewLine;&NewLine;&NewLine;<p><strong>Key measures include &colon;</strong></p>&NewLine;&NewLine;&NewLine;&NewLine;<ul class="wp-block-list">&NewLine;<li>Customs risk management &colon;Implementation of a common risk management system for all goods entering or leaving the&rsquo&semi;European Union&comma; with a particular focus on high-risk&period shipments;<br></li>&NewLine;&NewLine;&NewLine;&NewLine;<li>International cooperation &colon; Intensification of international cooperation agreements and control actions at national and international level&comma; in particular within the framework of the&rsquo&semi;Union Douanière&period;<br></li>&NewLine;&NewLine;&NewLine;&NewLine;<li>Supervision of declaratory activities &colon; Increased supervision of economic operators&comma; particularly those in sectors subject to specific taxes such as VAT&comma; IEC and ISV&period;<br></li>&NewLine;&NewLine;&NewLine;&NewLine;<li>Improvement of the application of specific tax risks &lpar;RFE&rpar; &colon; Development of new functionalities for monitoring major contributors&period;<br></li>&NewLine;&NewLine;&NewLine;&NewLine;<li>Criminal Investigation &colon; Strengthening the capacity to&rsquo&semi;investigate complex tax crimes with close cooperation with the Public Prosecutor&period;<br></li>&NewLine;&NewLine;&NewLine;&NewLine;<li>Creation of mechanisms to cross-reference information on vehicle legislation and e-commerce in order to identify potential fraud&period;<br></li>&NewLine;</ul>&NewLine;&NewLine;&NewLine;&NewLine;<h3 class="wp-block-heading">Focus on automatic tax benefits</h3>&NewLine;&NewLine;&NewLine;&NewLine;<p>Measures to control automatic tax profits&comma; in particular the Municipal Tax on Onerous Transfers of Real Estate &lpar;<a href="https://vivreauportugalconsulting.com/exoneration-imt-immobilier-portugal/" data-type="post" data-id="9408">ITM</a>&rpar; and the &lpar;IS&rpar;&comma; Seal Tax are strengthened&period; Automatic tax benefits&comma; which are granted directly by law without the need for&rsquo&semi;administrative agreement&comma; have often been subject to abuse and fraud&comma; thus reducing the resources available to finance the&rsquo&semi;State&period;</p>&NewLine;&NewLine;&NewLine;&NewLine;<p><strong>These benefits include &colon;</strong></p>&NewLine;&NewLine;&NewLine;&NewLine;<ul class="wp-block-list">&NewLine;<li>L&rsquo&semi;exemption d&rsquo&semi;IMT pour l&rsquo&semi;achat de biens immobiliers destinés à la resvente&period;</li>&NewLine;&NewLine;&NewLine;&NewLine;<li>Exemption for purchases of goods classified as being of national or municipal interest&period;</li>&NewLine;&NewLine;&NewLine;&NewLine;<li>Property acquisitions by credit institutions&period;<br></li>&NewLine;</ul>&NewLine;&NewLine;&NewLine;&NewLine;<p>The lack of rigorous controls has led to abuses, with beneficiaries using these advantages in cases that do not comply with legal criteria, thereby affecting the fairness and efficiency of the tax system&period;</p>&NewLine;&NewLine;&NewLine;&NewLine;<p>The new measures aim to establish a more transparent&comma; fair and efficient tax system&period; By improving the control of automatic tax benefits&comma; the&rsquo&semi;AT seeks not only to increase tax revenues&comma; but also to restore confidence in the tax system by more effectively combating fraud and&rsquo&semi;tax evasion&period;</p>&NewLine;&NewLine;&NewLine;&NewLine;<p>For non-habitual residents and automatic profit transactions in LMI and IS&comma; expect increased scrutiny and tax inspections in these areas&period; Make sure you meet your tax obligations to avoid potential complications and associated penalties&period;</p>&NewLine;&NewLine;&NewLine;&NewLine;<p><strong>Don&rsquo&semi;t forget that even if you aren&rsquo&semi;t a Portuguese resident&comma; failure to pay your taxes in Portugal can have repercussions in your country of residence&period; European legislation often allows tax authorities to cooperate in recovering unpaid taxes&comma; this can lead to cross-border penalties&period;</strong></p>&NewLine;
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