Por­tu­gal to in­tro­duce tax on real es­tate for­tunes

The Myanmar Times - - Business -

POR­TU­GAL will in­tro­duce a tax on real es­tate for­tunes above 600,000 euros (US$661,000) next year to help pay for pen­sions,.

The tax, fiercely op­posed by the real es­tate sec­tor which fears it will put the breaks on for­eign in­vest­ment, is in the draft bud­get for 2017.

If the value of all real es­tate owned by a tax­payer sur­passes 600,000 euros, a levy of 0.3 per­cent will be ap­plied to the amount above this thresh­old.

The gov­ern­ment ex­pects the mea­sure will raise 160 mil­lion euros each year to boost pen­sion pay­ments.

The thresh­old of 600,000 euros will spare most ben­e­fi­cia­ries of the coun­try’s so-called “golden visa” scheme, which has helped fuel de­mand for real es­tate among wealthy for­eign­ers from out­side the Euro­pean Union.

Cash-strapped Por­tu­gal in Oc­to­ber 2012 started of­fer­ing “golden” visas to non-EU cit­i­zens will­ing to in­vest 500,000 euros in prop­erty, make a cap­i­tal trans­fer of one mil­lion euros or cre­ate 10 jobs.

The Por­tuguese visas al­low for­eign­ers to travel within the EU with­out re­stric­tion. –

Newspapers in English

Newspapers from Myanmar

© PressReader. All rights reserved.