This benefit is intended to encourage investment by individuals in micro and small companies.
It consists in the inclusion, for Personal Income Tax (IRS) purposes, of only 50% of the net capital gains on the sale of shares of micro and small companies not listed in regulated or non-regulated stock exchanges. In practice, this means that the capital gains are taxed at 14%.
It consists in the inclusion, for Personal Income Tax (IRS) purposes, of only 50% of the net capital gains on the sale of shares of micro and small companies not listed in regulated or non-regulated stock exchanges. In practice, this means that the capital gains are taxed at 14%.
Requirements
The application of this regime is dependent on companies complying with the definition of micro and small companies under the terms of the Annex to Decree-Law 372/2007.