Taxes in Portugal
The Portuguese Republic is located in the very west of continental Europe, in the southwest of the Iberian Peninsula, the capital is the city of Lisbon. The population is 10 people.
Portugal is a developed country of agrarian-industrial type. The main developed industrial sectors here are:
- textile;
- winemaking;
- olive oil production;
- ferrous and non-ferrous metallurgy;
- machine-building complex;
- Agriculture;
- animal husbandry.
The tourism sector plays an important role for the state's economy. Portugal has been attracting a large number of foreign businessmen and companies for several years now. This jurisdiction is often chosen to register a business, as it has favorable economic, social and tax regimes.
The E-COMMERCE BROKER company provides a range of services that will not only help open a company in Portugal, but also to develop a work program in which all financial and tax burdens on business will be minimal.
We will take full responsibility for organizational issues and help you successfully begin to develop your chosen commercial area, be it a startup or an existing company.
Taxes in Portugal
Portuguese tax system complies with the principles applicable throughout the European Union. Both residents of the country are required to pay taxes here, in which case the tax base is the entire global income of the company, and non-residents, for whom only the income received from activities in Portugal is taxed.
The main difference between the Portuguese tax system is that income tax is calculated on a progressive scale, that is, the rate depends on the amount of income - the higher it is, the higher the percentage.
The main types of taxes in the jurisdiction are:
- Income tax - standard rate 21%. In addition, 1,5% is added to it in the form of a municipal surcharge, as well as a state surcharge, which is calculated on a progressive scale: for income up to 1,5 million euros - 0%, for the next 6 million euros - 6%, for balance - 5%. The Azores and Madeira have their own preferential corporate tax rate.
- VAT - there are 3 rates in the jurisdiction: 23% - standard, 13% - average for port wine, fruits, vegetables, seafood, 6% - reduced, valid for essential products and transport services, zero for medicines.
- Tax on sources of passive income: on dividends, interest and royalties for non-resident companies the rate is 25%. An increased rate of 35% applies when the company receiving the dividends is registered in a country classified as low-tax.
If the state in whose favor the payments are made has a signed agreement on the avoidance of double taxation with Portugal, then it may be exempt from payments.
Help with taxes from the E-COMMERCE BROKER Company
Many years of experience in cooperation with various European jurisdictions allows the specialists of the E-COMMERCE BROKER Company to provide qualified assistance with taxes.
We will advise you in detail regarding all the features of the Portuguese tax system, and also help you register a company in Portugal.
For successful and efficient work we let's open for your business IBAN bank account within the shortest possible time. Our team is interested in the successful development of your business, so we do everything possible to resolve any financial and tax issues as quickly and efficiently as possible.
