Property Tax

[Graham]

Hi all - just been informed that my property tax is going up from 1,000 euros to 5,000 euros per annum as of next month because the villa is owned through a company. First I have heard of it - anyone know anything about the new rules???

[jonboy]

Graham,

Where is the company domicled? Is it in a 'black jurisdiction such as Gib . I believe those with offshore properties in somwhere like Delaware or Malta wil not be subjected to such extreme property tax hikes..


JB

[Graham]

It's domiciled in Delaware

[jonboy]

http://www.sovereigngroup.com/portugal/ ... letter.pdf


According to Sovereign Delaware is OK in terms of huge IMI hikes...


JB

[RichardHenshall]

Was the company previously domiciled in what is now a black-listed jurisdiction? Perhaps the change wasn't notified to or registered by the Finanças?

[RichardHenshall]

Another thought - have you made any changes to the property that would automatically trigger a revaluation to the new (2004 onwards) IMI code? If so you might have missed out on the capping which would have been part of the general revaluation for all properties (not previously revalued since 2004) which takes effect next year.

[biffa]

If the property is held by a Delaware company and is correctly registered as such at the Finanças it will be charged at normal tax rates as for any non balcklisted residing individual or company. Ask your fiscal rep to check the title at the Finanças.

[pato]

If the property is held by a Delaware company and is correctly registered as such at the Finanças it will be charged at normal tax rates as for any non balcklisted residing individual or company. Ask your fiscal rep to check the title at the Finanças.

How about Gibraltar, go no give me the bad news and why.

[biffa]

Gibraltar is still on the big bad blacklist despite some commentators saying it would have been removed before end of 2011.

[Graham]

Despite assurances to the contrary it appears that my agent may not have informed the authorities of the change of domicile.

Anyone know if they can back-date this or am I stuck with a whopping bill this year?

Graham

[biffa]

It depends!!

If the change of domicile was registered at the central registry (RNPC) before 31 December 2011 you may be ok. Anyway you should have had your April IMI in by now so can check.