Knowledge

First impressions of the new Digital Platform for Portuguese Nationality applications

  • 2 de October de 2024

The new digital platform for processing Portuguese nationality applications was officially launched on 1st October 2024. We waited a day to gather our first impressions, and unfortunately, it appears that the initial implementation is facing some technical challenges.

In this article, we share our insights on this platform, how it could modernise processes, and highlight the issues we have already identified.

Initial Problems Identified

The new platform, which is currently operational at the Central Registry Office in Lisbon and the Central Archive in Porto, will be extended to the remaining 16 Nationality counters from 4th November. However, within the first 24 hours of use, we noticed that the system is not yet functioning optimally, presenting errors in updating the status of applications and frequent crashes.

When checking the status of applications on the previous platform, we found that all processes appear as completed, which does not reflect reality. This type of error has generated confusion and frustration among applicants.

Unfortunately, even with the new platform, the issue persists regarding the status check of applications, displaying incorrect information or technical failures. To date, only the status check function has been active, and both the submission of new applications and the management of processes are still not functioning correctly.

How to Access the New Platform

Due to these changes, the previously provided link for checking application statuses is outdated. It is now necessary to use the new link: Check Nationality Application Status, with the same password that was previously provided.

Please be aware that, due to high demand, the website may take longer than usual to respond, and at times, it may display inaccuracies regarding the status of the application.

New Features of the New Platform

Despite the initial problems, the platform offers several significant innovations that promise, in the long term, to facilitate Portuguese nationality processes:

  • Digitalisation and Automation: Documents are digitised as soon as the application is submitted, with automatic extraction of identification data, minimising human errors.
  • Automatic Classification of Applications: The platform automatically classifies requests, streamlining the triage process and easing the workload for staff, allowing simpler cases to be processed more quickly.
  • Integration with the Civil Registry: Upon granting nationality, the birth registration is automatically recorded, expediting the process and ensuring that the data is properly registered.
  • Use of Artificial Intelligence: The platform employs artificial intelligence to optimise the processing and tracking of applications, promising to significantly reduce the processing time of cases.

These features have the potential to enhance efficiency and transparency in tracking applications, although, as previously mentioned, the platform is still facing some technical difficulties.

We remain vigilant in supporting your Portuguese Nationality applications

While we recognise the potential of this new platform to accelerate and modernise the handling of nationality applications, it is important to emphasise that we are in the early stages, and the system still presents some flaws. We will continue to closely monitor these issues and provide updates to our clients as new information becomes available.

If you have any questions about the status of your application or other matters related to Portuguese nationality applications, please do not hesitate to contact us.

Read article »

Portugal: A Prime Destination for Luxury Real Estate Investment in 2024

  • 20 de September de 2024

Portugal has established itself as one of the leading global destinations for luxury real estate investment, attracting an increasing number of international investors. According to the recent Property Market Index, the country tops the list of preferences when it comes to purchasing luxury properties, thanks to a unique combination of factors that make the Portuguese market highly attractive.

What Makes Portugal a Leader in the Luxury Segment?

Portugal stands out for its constant property appreciation and the security it offers, essential elements for those looking to invest in the luxury segment. The country has a number of characteristics that differentiate it from competitors such as the UK, the US, or other regions of Europe.

Here are some of the key factors that make Portugal irresistible to luxury investors:

  • Culture and Quality of Life: The relaxed lifestyle, world-renowned gastronomy, and mild climate throughout the year are highly appreciated.
  • Ease of Travel: Portugal is a small paradise with easy access to various European cities, making it ideal for investors seeking mobility.
  • Safety: Considered one of the safest countries in the world, Portugal offers peace of mind to those buying luxury properties, whether for residence or investment.

Areas of High Demand for Luxury Real Estate Investment in Portugal

Exclusive areas in cities like Lisbon and Porto have become major hotspots, especially in places such as Cascais, Comporta, Sintra, and Foz do Douro. However, this phenomenon is not limited to large metropolitan areas. The Algarve, with locations like Carvoeiro, Quinta do Lago, and Vilamoura, is also widely sought after, as is the Costa de Prata, which offers a perfect blend of tranquility and stunning landscapes.

Lisbon at the Forefront of Luxury Market Growth

According to the consultancy Savills, Lisbon led the growth in the luxury segment during the first half of 2024, recording an impressive increase of 4.2%. This performance places the Portuguese capital ahead of major European cities like Amsterdam, Madrid, and Athens, and even the prestigious Dubai market, which closed the top 5.

The growth trend is expected to continue in the coming months, driven by strong demand from American investors and the appreciation of the dollar, which makes Portugal even more attractive for those looking to diversify their investment portfolio.

What Attracts Major International Investors to Portugal?

The luxury market in Portugal is appealing not only because of the quality of properties but also due to stability and the fact that the country is a safe haven, especially for foreign investors. Cultural diversity and the ease of obtaining residence visas, such as the Golden Visa, remain key highlights. Additionally, low taxation for non-residents offers a favorable tax environment.

Future Growth Prospects

The forecast for the luxury real estate market in Portugal is for continued growth. With the appreciation of the dollar and the increasing interest from North American investors, the country is expected to continue seeing high demand, particularly in the premium areas of Lisbon, Algarve, and Porto.

If you’re interested in learning more about luxury real estate investment in Portugal, our real estate team is available to help you find the best opportunities in the market. Contact us and discover how we can assist you in investing successfully!

Read article »

Abolition of the Extraordinary Contribution on Local Accommodation (CEAL)

  • 20 de September de 2024

On September 10, a decree was published marking the end of the Extraordinary Contribution on Local Accommodation (CEAL), following authorization from the Assembly of the Republic. This measure was part of the More Housing Program and targeted local accommodation in apartments and autonomous units of residential buildings, except in inland areas. Let’s explore what changes with this revocation and the impact on local accommodation owners.

What was the CEAL?

The Extraordinary Contribution on Local Accommodation (CEAL), included in the More Housing Program package, imposed an annual contribution of 15% on local accommodations in apartments and autonomous units. The calculation base included factors such as location and the area of the property.

This contribution applied only to local accommodations located in urban areas, excluding inland territories, which were considered less pressured by tourism and housing demand.

Impact of the CEAL on Owners

For many local accommodation owners, this contribution represented an additional burden, as the 15% was applied to a base that reflected the property’s value, resulting in considerable annual taxes, especially in the more touristy and valued areas of the country, such as Lisbon, Porto, and the Algarve.

End of the CEAL: What Does It Mean in Practice?

As of September 11, the CEAL has been officially abolished, meaning that owners of local accommodations in apartments and autonomous units are no longer subject to this annual contribution.

Additionally, the same decree also repealed the depreciation coefficient, which was previously provided for in Article 44, No. 3 of the IMI Code. The depreciation coefficient allowed the reduction of the taxable property value for older properties, which decreased the IMI to be paid.

With the revocation of this coefficient, the property value of local accommodations can no longer be adjusted based on the property’s age, which may result in an increase in IMI for some owners.

Decree-Law No. 57/2024, which abolishes the Extraordinary Contribution on Local Accommodation and revokes the depreciation coefficient, came into effect on September 11, 2024, one day after its official publication.

Consequences for the Local Accommodation Sector in Portugal

With the abolition of the CEAL, many local accommodation owners will experience fiscal relief, especially those with properties located in urban areas where demand is higher. However, the revocation of the depreciation coefficient may result in an increase in IMI, which requires attention from property owners.

The end of the CEAL does not mean the end of discussions about Local Accommodation in Portugal. The sector still faces criticism for its contribution to the lack of affordable housing in major cities. It is likely that the Government will continue to monitor this market, and new measures may be introduced in the future to regulate Local Accommodation more effectively and fairly.

If you have questions about the impact of the abolition of the Extraordinary Contribution on Local Accommodation (CEAL) or need legal assistance in the real estate sector, our real estate law team is ready to help. Contact us for personalized advice and solutions tailored to your needs.

Read article »

Rent Increases in 2025: What to Expect

  • 11 de September de 2024

Recently, the National Institute of Statistics (INE) revealed provisional inflation data, suggesting a rent increase of up to 2.16% in 2025. Although this increase is lower compared to previous years, it will still have a significant impact on many tenants and landlords. Let’s explore what this means and how you can prepare for this situation.

Rent Adjustment Index for 2025

With prices falling for the second consecutive month—a decrease of 0.3% in August—the Consumer Price Index (CPI), excluding housing, is expected to settle at 2.16%. This number is used to calculate the maximum allowable rent increase for contracts covered by the New Urban Lease Regime (NRAU).

If this figure is confirmed, it will be the maximum allowed increase for rents in 2025. For example, if you currently pay a rent of €1,500, you could see an increase of around €32.40 next year.

The rent increase in 2025 will be much more modest compared to 2024, which was 6.94%. Last year, landlords were able to apply more substantial increases, leading to much higher monthly rent hikes. Now, the scenario is different. More controlled inflation has allowed for a smoother rent increase, providing some relief to tenants while still allowing a small margin of increase for landlords.

When Will the Rent Increase Be Confirmed?

INE will release the final rent adjustment index during September. After that, the index will be published in the Official Gazette by the end of October. Therefore, keep an eye on these dates to know the exact increase that may be applied to your lease.

Notification of Rent Increase in 2025 by Landlords

According to the law, landlords must notify their tenants 30 days in advance of any change in rent. This means that if the adjustment coefficient remains at 2.16%, the landlord must inform the tenant, detailing the new rent amount before the increase is applied.

Practical Summary for Tenants and Landlords

  • Projected rent increase for 2025: 2.16%.
  • Comparison with 2024: Significantly lower (6.94% in 2024).
  • Practical example: A €1,500 rent could increase to €1,532.40.
  • Official disclosure: In September by INE, with publication in the Official Gazette in October.
  • Increase notification: 30 days in advance by the landlord.

If you need more information or have questions about how this increase will affect your specific situation, do not hesitate to contact our specialized Real Estate team. We are available to help you find the best solutions.

Read article »

Legislative autorization for revocation of CEAL approved

  • 27 de August de 2024

On august 7, Law nº 35/2024 was published, authorizing the Government to repeal the Extraordinary Contribution on Local Accommodation Properties (CEAL). This revocation, already announced, fulfills an election promise and is part of the new package of housing measures that the Government intends to implement.

What is the Extraordinary Contribution on Local Accommodation Properties (CEAL)?

CEAL was established by Law nº 56/2023, of October 6, and applies to local accommodation located in apartments and accommodation establishments that occupy independent units of building intended for housing, with the exception of inland territories. This contribution consisted of an anual rate of 15%, calculated based on factos such as the location and area of the property.

Effects of the revocation of the CEAL

The legislation that will repeal the CEAL will have retroactive effects a december 31 of 2023, and its approval should occur within the next six months at the latest. This measure aims to alleviate the tax burden on owners of properties used for local accommodation.

Changes to the IMI Code

In addition to the revocation of the CEAL, the Government will also amend paragraph 3 of article 44 of the IMI Code. This amendment will be important to adjust the coeficiente of age applicable to real estate where local accommodation establishments operate, allowing for a reduction in the taxable property value of these properties and, consequently, a reduction in the IMI to be paid by owners.

 

If you would like to know more about the implication of the repeal of the CEAL or the changes to the IMI Code, please do not hesitate to contact us. Our team is available to answer any questions you may have and provide the necessary support regarding these legislative changes.

Read article »

New AIMA Service Centers

  • 27 de August de 2024

Starting in September, the Agency for Integration, Migration and Asylum (AIMA) will open specialized service centers in various cities in Portugal, to resolve the backlog of some 400,000 immigrants.

This initiative comes as a response to the growing volume of accumulated cases, especially after the extinction of SEF.

The largest centers will be in Lisbon, where most cases will be concentrated. The opening of these centers is intended to guarantee faster service, facilitating the regularization of immigrants who are waiting for answers from public services.

To support this new infrastructure, the government plans to increase AIMA’s team, hiring around 300 new professionals by June 2025. This measure is essential to ensure the efficiency of the services provided and to meet the high demand for pending cases.

This effort is part of a broader government strategy to restructure immigration management in Portugal, promoting more effective and humane integration of immigrants in the country.

To find out more about this subject or any other related to immigration law, don’t hesitate to get in touch with our team here.

Read article »

IRS and IMI exemption on old rents in 2024: what you need to know.

  • 23 de August de 2024

Did you know that if you are the landlord of a property rented under a lease agreement signed before the Urban Lease Regime (RAU) came into force and which has not been updated to the New Urban Lease Regime (NRAU), you can benefit from IRS exemption on property income?

What are the conditions for the IRS exemption?

This exemption is provided for in Article 46-A (2) of the Tax Benefits Statute (EBF), introduced by Law 82/2023 of 29 December, and remains valid for the duration of the lease.

In addition, the properties covered by these contracts are also exempt from paying Municipal Property Tax (IMI) for the same period. To benefit from these exemptions, the landlord must submit an application to the relevant tax office.

Who can benefit from these exemptions?

The maintenance of old rents under the pre-NRAU regime may be due to various reasons, such as:

  • The tenant is aged 65 or over;
  • Has a proven degree of disability equal to or greater than 60 per cent;
  • Has a corrected gross annual income (RABC) of less than five times the annual national minimum wage.

If this is your case, don’t hesitate to contact us. Our team is available to answer your questions and help you through the process.

Read article »

Notaries can now issue the European Certificate of Succession

  • 23 de August de 2024

Since August 2012, Portugal has been applying Regulation (EU) No 650/2012, which lays down rules on jurisdiction, applicable law, recognition and enforcement of judgements, as well as the acceptance and enforcement of authentic instruments in matters of succession. This regulation also introduced the European Certificate of Succession (CSE).

What is the European Certificate of Succession?

The main purpose of the European Certificate of Succession is to facilitate the exercise of the rights of those interested in an inheritance opened in another Member State of the European Union. This certificate is issued in one Member State for use in another, benefiting heirs, legatees, executors or administrators of estates. It is especially useful when it is necessary to prove or exercise inheritance rights or powers of administration in a country other than that in which the inheritance was opened.

Contents and use of the Certificate

The European Certificate of Succession is a valid document for registering the assets that form part of a succession. It must include several essential pieces of information, such as

  • The law applicable to the succession and the grounds for determining it;
  • Details of the deceased and the beneficiaries of the estate;
  • The share of each heir;
  • A list of the assets and/or rights attributed to each legatee;
  • The powers of the executor of the will and/or the administrator of the estate.

Simplification and new competences for notary offices

The CSE takes effect in all EU Member States without the need for additional procedures. As of 19 August 2024, the issuance of this certificate is no longer exclusive to the courts, but can be carried out by any notary’s office. This change represents a significant step forward in simplifying the exercise of inheritance rights in different Member States, making the process more accessible and agile for those concerned.

If you have any questions or need assistance with the process of issuing the European Certificate of Succession, don’t hesitate to contact us.

Read article »

IMT and Stamp Duty Exemption for Young People: 6 short questions to understand the new measure (with calculator included)

  • 5 de August de 2024

The Portuguese Government recently launched an important measure to support young people in buying their first home. Recognizing the difficulties in accumulating savings and achieving a stable professional situation, this new legislation exempts young people from paying IMT and stamp duty on the purchase of their own and permanent housing.

Below, we answer some of the most common questions to help you better understand how you can benefit from this exemption.
 

1. Who can benefit from the IMT and stamp duty exemption?

Young people aged 35 or under at the date of purchase who are not considered dependents for the purposes of Article 13 of the IRS Code.
 

2. What are the fiscal requirements?

In addition to not being dependent in the year of purchase, you must not have had ownership rights or any partial figure over a residential urban property at the date of purchase or in the three years prior.
 

3. What is the property value limit for the exemption?

The exemption only applies to properties with a purchase value of up to €316,772.00.
 

4. What happens if I buy the house with my spouse?

The conditions for the exemption are verified individually. If one of the spouses does not meet the requirements, they will still be subject to IMT and stamp duty.

5. When does this exemption come into effect?

The exemption is valid from August 1, 2024.
 

6. What are the conditions to maintain the exemption?

The exemption will expire if you become considered dependent again within six years of purchase or if, within the same period, you give the property a different use than the one on which the benefit was based.
 

Calculate the taxes due on the purchase of your own and permanent housing

To facilitate the understanding and practical application of the new IMT and stamp duty exemption measure, we have developed a simple and intuitive calculator. This tool allows young people aged 35 or under to quickly calculate the taxes that would be due on the purchase of their own and permanent housing.
Just enter the property’s purchase value and click on “Calculate Taxes”. The calculator will immediately provide the IMT rate and stamp duty amount, as well as the total taxes to be paid, considering the applicable exemption.

Try our calculator below and better plan your real estate purchase with all the necessary information.

Calculadora de IMT e Imposto de Selo

Calculadora de IMT e Imposto de Selo

Para jovens com idade igual ou inferior a 35 anos na aquisição de habitação própria e permanente.

€

 
We hope this information helps you better understand the benefits of IMT and stamp duty exemption for young people.

If you have any additional questions, do not hesitate to contact us.

Read article »

I have a residence permit, now what?

  • 4 de August de 2024

When the moment many third-country nationals long for finally arrives —the moment of obtaining a residence permit— a host of new questions often arises, particularly concerning the duration of stay and the reasons that might jeopardize the retention of the acquired residence permit.

It is important to know that, despite the completion of the legalization process, the foreign resident must continue to adhere to certain stay rules to ensure that their residence permit is not canceled.

Rules to keep the Residence Permit

According to the law, during the validity period of the temporary residence permit, its holder must not be absent from the country for a period exceeding six consecutive months or eight non-consecutive months. This means that, upon granting a temporary residence permit valid for 24 months, the foreign resident in Portugal must remain in the country for a minimum period of 16 months, which should be extended to 18 months if the period of absence is continuous.

Furthermore, after the first renewal of the temporary residence permit, which then has a validity period of 36 months, the holder of a residence permit must stay in Portugal for at least 28 months, extending to 30 months if the period of absence is continuous.

The granting of permanent residence also requires compliance with the periods of stay within national territory. According to the law, the holder of permanent residence cannot be absent from the country for a period exceeding 24 consecutive months or 30 non-consecutive months. This means that, over the 60 months of the permanent residence permit, the foreign resident in Portugal must be in the national territory for at least 30 months or, if the absence is continuous, for at least 36 months.

Failure to comply with these periods of stay in Portugal may indeed lead to the cancellation of the residence permit.

Residence Permit – Exceptions to the obligation to stay in Portugal

There are several exceptions to the mandatory compliance with these periods, which, being exceptions, do not result in the cancellation of the residence permit. The existence of compelling personal, family, or professional reasons that necessitate being absent from the country for periods longer than those listed does not harm the retention of the residence permit of the foreign citizen. However, it is the responsibility of the individual to notify AIMA – Agency for Migration and Asylum Integration – of this absence, either in advance or, if not possible, afterward, and to demonstrate that they continue to consider Portugal their country of residence where they intend to remain.

For example, if after the granting of the temporary residence permit valid for two years, the holder of the residence permit who has business abroad is forced to be absent from the country for a period of 10 months, their permit will not be canceled if the absence is justified to AIMA.

Each situation and exception must be analyzed on a case-by-case basis, bearing in mind that a justified absence extending beyond the periods listed in the law will always be the exception, not the rule. You can find out more about how it works in the table below and, if you have any questions, feel free to get in touch with our team of lawyers here.

Read article »
see more

Categories

See All
Companies
Golden Visa
Real Estate
Portuguese Citizenship
Non-Habitual Resident
Visas and Residence Permits

Latest Articles

SUBSCRIBE TO OUR NEWSLETTER
Stay up to date with news
Linkedin-in Facebook-f Instagram Envelope

Beyond Borders

Services

Useful Links

Opening hours

  • info@lamarescapela.pt
  • (+351) 911 942 346
  • Av. de Berna, nº 11, 3º andar, 1050-036 Lisboa
CONTACT US

2024 © Copyright – Lamares, Capela & Associados | Powered by BSPACY

Terms and Conditions | Privacy Policy

Get in touch with us for further information.

Lamares, Capela & Associados is committed to protecting and respecting your privacy and we will only use your personal information to manage your account and provide the products and services you have requested. Occasionally, we would like to contact you about our products and services and also about other matters that may be of interest to you.

Contacte-nos para saber mais detalhes.

A Lamares, Capela & Associados tem o compromisso de proteger e respeitar a sua privacidade e usaremos as suas informações pessoais apenas para gerir a sua conta e fornecer os produtos e serviços que nos solicitou. Ocasionalmente, gostaríamos de contactá-lo sobre os nossos produtos e serviços e também sobre outros assuntos que possam ser do seu interesse.