Annual Budget
Others :: 2010-02-26

On the 26^th January the Portuguese Parliament was presented with the proposed budget   for 2010.
Though subsequent discussions and voting occurred on the 11^th February, the final approval is scheduled to occur on the 11th and 12^th March 2010.
There are some of the main changes to be introduced:
IRS – Personal Income Tax
1.                  Simplified Scheme
The proposal consists in a single limit of €150.000 for the purpose of the simplified taxation scheme, which will mark the end of the difference between sales and other income contained within the category professional and corporate income.
2.                  Minimum Taxable Income
There is a proposal to minimum taxable income of € 3.150 (in 2009), that has served as the basis upon which the taxable income has been calculated.
3.                  Fixed Rates
Income subject to withholding tax at a fixed rate will be subject to a rate of 20% taxation
4.                  Gift of properties
There is a proposal to the reinforce of the anti-abusive measures in relation to the sale of property acquired by way of gift in cases of exemption of stamp duty; in these cases, in order to ascertain the capital gains the acquisition value will be the tax patrimonial value two years prior to the gift.
5.                  Deadlines for filing tax returns
There is a proposal that from January 2011, tax payers whose only source of income derives from dependent work or from pensions must file their returns by the end of March (if in paper format) or April (if filed online); in relation to tax payers who fall within other categories, their tax returns must be filed by the end of April (if in paper format) or May (if filed online).
6.                  Date for payments
The deadline to proceed with IRS payments will be 30^th June (dependent work and pensions) and 31 July (for other cases).
7.                  Environmentally friendly energies, thermic levels and electric vehicles
There is a proposal for deduction of 30% on the environmental expenses in relation to Environmentally friendly equipments, construction work that contribute to a better thermical efficiency and, finally, for vehicles that exclusively use electricity or environmentally friendly energy; the aforementioned deduction can only can be applied once every 4 years.

IRC – Corporate Income Tax
Simplified Scheme
It is proposed the elimination of the simplified scheme and with a transitorial period until the end of 2010, for tax payers presently paying under this regime.
STAMP DUTY
It is proposed the elimination of stamp duty in relation to the following acts:
1.      Share Capital increases not in money;
2.      Any agreements that are not listed;
3.      Commercial books;
4.      Stamp duty in notarial acts, acts undertaken by registrars, clerks and other entities or professionals that may grant private documents.
 

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