Changes to reporting obligations in the income tax return

Decree-Law No. 13/2025, of March 6

This decree-law amends the Personal Income Tax Code (IRS Code), in its current wording, eliminating the obligation to report income subject to non-inclusive withholding taxes and income not subject to IRS in the income tax return for IRS purposes, but maintaining the reporting obligation in relation to assets held in countries, territories or regions with a more favourable tax regime.

Taxpayers must mention in the declaration the following assets held by them in countries, territories or regions with a clearly more favourable tax regime:

1. Property rights or partial forms of such rights over real estate located therein;
2. Cars, boats or aircraft registered there;
3. Amounts held in deposit or securities accounts in entities with headquarters or domicile in these jurisdictions or in branches located therein;
4. Shares, quotas and capital shares in entities with headquarters or domicile in these jurisdictions;
5. Participation units and similar securities in collective investment undertakings, alternative investment undertakings or venture capital investment undertakings managed or administered by entities having their registered office or domicile in such jurisdictions or by branches situated therein;
6. Bonds and other securities issued by entities headquartered or domiciled in these jurisdictions;
7. Supplies and other loans granted to entities headquartered or domiciled in such jurisdictions or to branches located therein;
8. Insurance or annuity contracts with entities headquartered or domiciled in these jurisdictions or through branches located there;
9. Assets or values ​​held through partnerships and fiduciary structures, of which you are a beneficiary, registered there or managed or administered by entities with headquarters or domicile in those jurisdictions or by branches located there.

This decree-law shall come into force on the day following its publication and shall apply to income declarations for the years 2024 and subsequent years, to be submitted after the entry into force of this decree-law.