# Portuguese rental property taxation



## penpal (Oct 21, 2015)

Can anyone enlighten me about the double taxation agreement that exists between Portugal and the UK? I have a rental property in Portugal and live in the UK. I would prefer to be taxed in the UK system as it will be 20% not 28%. How do I go about this?

How do I submit a tax return in Portugal? My rental income is disclosed to NIF.

Any insight is welcome.


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## TonyJ1 (May 20, 2014)

You have no choice - if it is Portuguese source income, then you first declare it and pay Portuguese taxes. You should also declare it in the UK, though as the Portuguese tax liability is higher the the UK liability, you should not have to pay any tax on the Portuguese source income.

As you are a non resident and as you have Portuguese tax obligations, you will need to appoint a resident as your tax representative - he/she will have to ensure your tax obligations (at least the declaratory) are up to date. The tax authority will assess on the declaration. The assessment will have the calculation and the dates etc of taxes due


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## penpal (Oct 21, 2015)

Thank you Tony, I do have a tax representative, who is my solicitor, I hope that will work, I haven't yet sent my declaration tho I started receiving rent in June this year...


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## TonyJ1 (May 20, 2014)

penpal said:


> Thank you Tony, I do have a tax representative, who is my solicitor, I hope that will work, I haven't yet sent my declaration tho I started receiving rent in June this year...


1st declaration will be due 1 April - 30 June for the period 1 June to 31 December


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## penpal (Oct 21, 2015)

Ah, thank you, that is really helpful.

On another subject, does the municipality do things like treating termites as a paid for service? I am trying to find someone who can do this locally to me in Idanha a Nova, Castelo Branco district... In the UK they do, so thought it worth asking.


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## TonyJ1 (May 20, 2014)

I think you will have to get a pest control company to do this job. Look for 'controlo de pragas' on a search engine (pest control)


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## penpal (Oct 21, 2015)

Hi TonyJ1, its been a while! I realise I have a deadline coming up on 25th for submitting my rental expenses to the AT. I was wondering if you would help me with submitting my tax return and if so, how much you would charge for this. Many thanks...


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## TonyJ1 (May 20, 2014)

penpal said:


> Hi TonyJ1, its been a while! I realise I have a deadline coming up on 25th for submitting my rental expenses to the AT. I was wondering if you would help me with submitting my tax return and if so, how much you would charge for this. Many thanks...


If you have been using your Portuguese income tax number on purchasing or spending anything for your property, it will be registered against your tax profile, with t4he exception of condo fees. You can register these on your tax profile, or else claim these when submitting your annual tax ret4urn which is due 1 April to 30 June


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