New rules for the 2024 personal income tax return: reporting assets in tax havens and income subject to definitive withholding taxes
Today, Decree-Law no. 13/2025, of 6 March, was published, introducing changes that impact the 2024 personal income tax return.
The key updates include:
- elimination of the obligation to declare income subject to final withholding tax that is not aggregated, as well as income not subject to IRS.
- greater transparency in asset reporting for Portuguese tax residents holding assets in jurisdictions with more favourable tax regimes.
The new framework specifies that the following assets held in these jurisdictions must be reported:
- real estate rights or partial property interests in properties located in such jurisdictions;
- registered vehicles, boats, and aircraft;
- bank deposits and securities (shares, quotas, bonds) in entities based in these jurisdictions;
- units in investment funds managed or administered by entities based in these jurisdictions;
- loans and shareholder financing granted to entities in these jurisdictions;
- insurance or annuity contracts with entities based in these jurisdictions;
- assets held through partnerships and fiduciary structures registered or managed in these jurisdictions.
These new rules will apply to the 2024 tax return.
For more information please contact us at jcg@ccsllegal.com
[Photo by: Kelly Sikkema, available at unsplash.com]