TIN (Tax Identification Number)

To Portuguese citizens and all foreign citizens wishing to reside or make an investment in Portugal.

The Portuguese taxpayer number for natural persons is known as NIF (TIN in English) (and for corporate entities as NIPC, which is also the identification number of the commercial register).

Citizens who are not resident in the European Union, Norway, Iceland or Liechtenstein, and if they have a legal tax relationship with Portugal, are required to appoint a Tax Representative, who may be a legal or natural person provided that it is domiciled or resident in Portuguese territory.

Examples of a taxable legal relationship are: opening a bank account, shareholdings in a commercial company, purchase of a vehicle or property, an employment contract or the performance of a self-employed professional activity.

The tax representative must maintain the representation for as long as necessary, and the representative need not be constituted for tax purposes as a manager of assets, rights or business, nor confer any powers to manage assets, including securities, property or other rights he or she holds.

The tax representative is crucial to advise the client of notices from the tax authority and to avoid incurring liability, as deadlines are short and fines can be high, i.e. it is a correspondence responsibility.

In some situations it is possible to exempt the tax representative provided that electronic notifications are activated on the Tax Authority’s website or via ->CTT-> mailbox – the client should regularly check the notifications to confirm their receipt in a timely manner.

Note: in property investment both the purchaser and the partner (even if not purchasing and even if the property scheme is of full separation) must have a TIN.