A range of changes to the Portuguese VAT regime has been presented in the latest Finance Bill which would come into effect on 1 January 2014.
According to the upcoming changes, taxpayers will now have the option to forgo the VAT exemption on property services in order to reclaim all or a proportion of any input VAT suffered. The requirement for VAT invoices on financial services or insurance services to EU VAT registered businesses has been removed.
Furthermore, a range of goods will be excluded from the Regime de Bens em Circulaҫao and these include agricultural goods, publicly collected waste and goods for not-for-profit or public organizations. The new Bill also provides for the inclusion of the new rules on the place of supply to consumers of electronic services, downloads, telecoms services etc.
