TAG Tax

Contact: Espanha e Associados, Sociedade de Advogados, RL (Portugal)

Decree-Law no. 151-A/2013 of 31/10

Tax and social security debts

• Establishes an extraordinary tax and social security settlement regime for debts whose collection period ended until 31/08/2013.

Interests and costs settlement

• Taxpayers who pay the entire debt until 20/12/2013 will benefit of a total settlement of the interests of late payment, compensatory interests and costs in the tax execution process. If the payment is partial, the settlement will be proportional to its corresponding part.

Fines reduction

• The payment of the entire debt will benefit the taxpayer with reductions up to 10% of the fines amount.

Payment by third parties

• This law allows the payment of tax and social security debts by third parties, who may subsequently exercise the right of recourse against the original debtor.

This law enters into force today, 1 November, and to benefit from its regime taxpayers must make all payments until 20 December 2013.