The Portuguese government introduced an extraordinary investment tax credit with effect from 17 July 2013. The special tax credit will be applicable to investments between 1 July 2013 and 31 December 2013, up to a limit of EUR 5,000,000.
The tax credit will amount to 20% of the investment and can be offset up to a maximum limit of 70% of the total Corporate Income Tax (CIT) due. Any surplus credit can be carried forward for five years.
To benefit from the investment tax credit, a company must regularize its tax situations, should maintain proper accounts and must not be subject to any indirect method of taxation.
