Blog Layout

Personal Income Tax – Late Tax Return Submission

22 August 2024
Diogo Pedro
Diogo Pedro - Lawyer Tax

 Diogo Pedro | Lawyer

If you are concerned about having missed the deadline to file your Portuguese personal income tax return, rest assured that although penalties may apply, you can still file a late tax return to fulfill your obligation of reporting your worldwide income. As it is commonly acknowledged, the income received by individuals is taxed under the Portuguese Personal Income Tax Code.


Personal income tax returns should be filed and submitted between April 1st and June 30th in regard to the previous tax year. However, even if you missed this deadline, you should file a late tax return. This obligation does not disappear after the deadline has passed. The fastest and most efficient method to file a tax return is online through the Portal das Finanças. To do this, taxpayers must create an account or log in to the Portal das Finanças and obtain an access password.


Filing your tax return late is preferable to not filing at all, as it ensures you comply with tax regulations and may help mitigate potential penalties. Eventual penalties depend on the evaluation made by the Tax Authority regarding the damage caused by the taxpayer to the Portuguese state. The exact penalty amount is uncertain because it is directly influenced by the extent of the harm caused to the Tax Authority (AT).


If the Tax Authority (AT) determines that no harm was caused to the Portuguese state, you will not be notified of any penalty and will have no penalty to pay. If your delay in submitting is no longer than one month, meaning you submitted after June 30th but before July 30th, the tax authority will not apply a penalty over €25 due to the low damage that this late submission causes to the Portuguese state.


In cases where the Tax Authority determines that your delay did not result in any damage, it is possible that no fine will be imposed on you. This can only occur if the taxpayer has not been previously convicted of any tax penalty. Following July 30th, the lowest fine that can be imposed is €37.50. Should the Tax Authority have already commenced an audit due to the taxpayer's non-compliance, the fine could escalate to €112.50. If the delay in submitting the declaration exceeds this period and causes harm to the Portuguese state, a fine ranging from €150 to €3,750 may be imposed.


In 2024, a change was made in the Portuguese State Budget Law stating that when a declaration is not submitted, the income earner is notified by registered letter to fulfill the obligation within 30 days. If the personal income tax return is not submitted within this period, the settlement will be carried out and the necessary deductions will be made. Until now, when taxpayers did not submit their tax return within the deadline, the Tax Authority would issue an assessment and did not consider the minimum subsistence level nor personal deductions, but now it will. However, you should always keep in mind that not all expenses may be considered and allocated in the right way, and penalties may still be applicable according to the situations referred to above.


It is important to consider that financial penalties are not the only disadvantage of filing a late tax return, as it won’t be possible when filing a joint tax return to opt for joint taxation. Also, it will not be possible to enjoy the I.M.I (Property tax) exemption when applicable. Besides that, filing a late tax return naturally means that processing your tax return will take more time than expected. In this sense, if you haven’t filed your tax return, it is strongly advised that you do so promptly to avoid any penalties or other disadvantages.


If you have any questions regarding your personal income tax, please feel free to reach out. We are here to offer you, our help.

by Diogo Pedro and Cleuzina Cruz 1 April 2025
Diogo Pedro | Lawyer
by Florbela Lopes 31 March 2025
Florbela Lopes | Lawyer
by Luís Maria Branco and Tomás Melo Ribeiro 28 March 2025
Luís Maria Branco | Lawyer
26 March 2025
In the last year, Portugal implemented several measures to regularise the entry of immigrants into national territory, such as the elimination of expressions of interest . On the other hand, Portuguese companies need a foreign workforce to maintain their productivity, for this reason, a “green lane” will be established to streamline the work visa process for foreign nationals being recruited by Portuguese companies. On the companies’ side, there are obligations that must be fulfilled, such as providing training and ensuring adequate accommodation. The official signing of the Green Lane agreement will take place on 1 April 2025 at the Ministry of Foreign Affairs. Over the years, immigrants have significantly contributed to various sectors of the Portuguese economy , such as agriculture and tourism, bringing with them a diverse range of skills, experiences, and knowledge that enrich the labour market and drive the growth of Portugal. To better understand this “green lane,” we will provide answers in this article:
Here are some insights and practical recommendations to help you through the 2024 tax season.
by António Pratas Nunes 25 March 2025
The income earned in 2024 must be declared between 1 April and 30 June 2025 by submitting the IRS Model 3 declaration.
Outro benefício desse estatuto é o direito a solicitar um Cartão de Cidadão.
by Danielle Avidago 14 March 2025
Na área migratória, a isenção de visto não só para turismo, mas também para atividades culturais, empresariais ou jornalísticas.
Portugal is a growing hotspot for entrepreneurs and businesses aiming to expand into Europe.
by Tomás Melo Ribeiro 6 March 2025
Favourable Corporate Tax Rate: Portugal offers a corporate income tax rate of 20%, which is among the most competitive in the EU.
An injunction helps creditors claim outstanding debts quickly through a legal mechanism.
by Margarida Tempera 27 February 2025
Engaging a lawyer is crucial; your defense's success relies on valid proof, procedural adherence, and meeting deadlines.
Portugal's traditions, charm, and cuisine are so integral that legal citizenship feels only fair.
by Danielle Avidago 26 February 2025
Portuguese citizenship, for some, means reconnecting to their parent or grandparent who spent their entire childhood amazing them with stories of a country.
Electric car owners benefit from no oil changes, fewer wearing parts, and lower maintenance costs.
by Cleuzina Cruz 25 February 2025
Electric cars have garnered significant attention compared to conventional vehicles, owing to their environmental and economic advantages.
More posts
Share by: