Parliament passes extraordinary short-term rent tax
This contribution was initially planned to be 35%, but was reduced to 20% in the proposal that the government sent to parliament. Subsequently, an amendment proposal from the PS lowered it to 15%.
Parliament on Thursday approved in detail the extraordinary contribution on short-term rent flats and lodgings, having rejected the proposals of the PSD and IL that eliminated this tax.
The extraordinary contribution was approved with the votes in favour of the PS and the Left Bloc, the abstention of the PCP and the votes against by the PSD, Chega and Liberal Initiative.
“An extraordinary contribution is created on short-term rent flats and lodgings in an autonomous fraction of a building,” states the proposal signed by the PS and that changed the one included in the Government’s proposal for the Mais Habitação programme.
This tax leaves out the housing properties that are not autonomous units or parts or divisions capable of independent use, as well as the short-term rents that operate in own and permanent housing, provided that the operation does not exceed 120 days per year.
The measure approved, which was the target of several proposed amendments by the PS, also determines that the coefficients applicable to the year 2023 must be published by order of the member of the government responsible for the area of finance within 60 days after publication of the law of More Housing.
This contribution was initially planned to be 35%, but was reduced to 20% in the proposal that the government sent to parliament. Subsequently, an amendment proposal from the PS lowered it to 15%.
In addition, the PS also proposed, and this was approved (with the PS, BE, and PCP voting in favour, the PSD abstaining and Chega and IL voting against), that this tax cannot be deductible when determining the taxable profit in IRC, “even when accounted for as an expense in the tax period”.
The proposals by the PSD and IL to eliminate this contribution were rejected. However, the members of the Commission of Economy, Public Works, Planning and Housing approved a proposal presented today by the PSD regarding the consignment of this tax which, in the case of the autonomous regions of Madeira and the Azores, is consigned to Investimentos Habitacionais da Madeira and to the Direção-Regional da Habitação dos Açores, respectively.
