Portugal has signed double taxation treaties to date with: Algeria, Austria, Barbados, Belgium, Brazil, Bulgaria, Cape Verde, Canada, Chile, China, Colombia, Cuba, Cyprus, Denmark, Slovenia, Estonia, Finland, France, Germany, Greece, Guinea-Bissau, Netherlands, Hong Kong, Hungary, Iceland, India, Indonesia, Ireland, Israel, Italy, South Africa, Spain, United Arab Emirates, United States of America, Japan, Kuwait, Latvia, Thaw, Luxembourg, Macao, Malta, Mexico, Morocco, Mozambique, Norway, Panama, Pakistan, Peru, Poland, Qatar, United Kingdom, Czech Republic, Republic of Moldova, Slovak Republic, Republic of Uruguay, Romania, Russia, Singapore, Sweden, Switzerland, Timor-Leste, Tunisia, Turkey, Ukraine, Venezuela. Portuguese residents are subject to the taxation of their worldwide income at a progressive marginal rate, and non-residents are subject to Portuguese tax on their Portuguese income at the rates in force (between 25 and 28%), depending on the type of income received. A double taxation convention may provide for a change in these rules. Tax rates, magnitude and relief may change. All tax reporting is based on our understanding of current tax legislation and practices that may change. Tax information has been consolidated; A person should be counselled in person. For the purposes of this Article, we consider a person to be resident for tax purposes in the United Kingdom and another country, although there are double taxation treaties between two countries. If you want to know the legal aspects of double taxation treaties in Portugal, talk to one of our legal teams in Porto or Lisbon today. Every double taxation treaty is different, although many very similar guidelines follow, even if the details are different. Uk expatriate entrepreneurs need to understand the impact of the double taxation treaty when they leave the UK for Portugal. For more information on how to avoid double taxation, please contact our law firm in Portugal.
If a person is not considered to be resident in the United Kingdom, the person would only be taxable in the United Kingdom under the current double taxation convention if the income comes from UK activities. This is important because it means that all income and profits of non-UK capital are protected against UK taxes. UK expatriate entrepreneurs with their headquarters in the UK who wish to set up in Portugal may have establishments in Portugal and the profits of their foreign company in Portugal may be protected by the Double Taxation Convention. . . .