Special Payments on Account waived
The Portuguese State Budget for 2022 is still pending approval after being rejected last year (a rejection leading to new elections).
Considering the rejected State Budget Proposal foresaw the elimination of special payments on account, the Government issued an Order (Order 92/2022-XXII, of March 2022) to waive the first installment payment, which is due on March 31st.
If the new proposal is rejected, the first installment now waived can be paid until October — the deadline for the second installment payment.
Up to now, the Special Payment on Account is payable:
- in March of each year; or
- in two installments in March and October or the third and the tenth month of the corresponding tax year if a different fiscal year applies.
The Special Payment on Account is deductible for CIT purposes in the corresponding tax year. However, if there is an excess, it is deductible during the following six fiscal years, after which it is refunded.
The special payment on account is not owed in the first and second years of activity.
Special Payment on Account is not required by taxpayers filing CIT and IES returns on time during the previous two tax years.
Disclaimer
This publication or document contains general information and is not intended to be comprehensive nor provide legal or tax advice or services. It should not be acted on or relied upon, or used as a basis for any decision or action that may affect you or your business. Professional legal advice should be requested for specific cases. We do not undertake any continuing obligation to advise on future legal amendments or the impact on the conclusions herein. Prior results do not guarantee a similar outcome. The contents of this publication or document may not be reproduced, in whole or in part, without the express consent of GFDL.
The information contained in this webpage is not to be used in place of proper and complete professional advice, as it does not constitute a binding legal opinion, nor does it not consider the particularities of your case.
Please seek advice before making any transactions. Contact us.
