Tax
The growing importance of tax residence in our jurisprudence
In recent years, the courts have issued numerous and important resolutions and judgments that we review below, which have been shaping an abundant doctrine on the concepts of center of economic interests, center of vital interests or sporadic absences, or on the value of residence certificates.Portugal: Deadline for filing the Modelo 22 Corporate Income Tax return extended to 30 June
The deadline for submitting the Corporate Income Tax return (Model 22) for 2025 has been extended to 30 June 2026. Companies with a tax period corresponding to the calendar year may file the return and pay any tax due by this deadline without incurring any penalties.Mexico: Tax authorities intensify payroll tax enforcement efforts
Mexican tax authorities are strengthening their enforcement actions related to payroll tax compliance through the use of cross-checking tax information obtained from other governmental authorities. Companies, particularly those operating across multiple states, should review their compliance posture and operating model to anticipate potential exposures and avoid penalties.Supreme Court: The cost of new construction is not updated for the purposes of Stamp Duty Tax, even if the deed is granted years later
According to the court, the tax regulations are clear in establishing that the taxable base of the Stamp Duty Tax is the real cost value of the new construction that is declared, without mentioning the market value and without providing for update coefficients.Domicile entries and tax inspection: the keys to the most recent case law of the Supreme Court
The Supreme Court stresses that the prior information that must be given to the taxpayer on his rights and the terms and scope of the action is not satisfied with the delivery of the informative annex that usually accompanies the communication of initiation of the inspection procedure itself.Portugal Indirect Taxes Newsletter – N.º 5
This edition highlights the tax relief measures approved under the Housing Package aimed at addressing housing prices in Portugal, as well as the entry into force of the "Volta" System regarding the deposit and refund of beverage packaging. In addition, we also highlight the Court of Justice of the European Union (CJEU)’s most recent rulings on the exercise of the right to deduct VAT, as well as the VAT treatment applicable to loyalty programs and intra-group transfer pricing adjustments.Courts emphasize the importance of providing reasons and of respecting the principle of legitimate expectations
The CJEU has reiterated that courts must provide adequate reasons for deciding not to refer a question for a preliminary ruling, even where the parties have not requested this; and the Supreme Court has strengthened the principle of legitimate expectations, by recalling that the application of benefits to customs clearance cannot be denied where the certificates of origin supporting the importation have expired, provided that the customs authorities were able to verify them within the prescribed period.