VAT on your lawyers fee?

Residencies & citizenships Portugal Golden Visa
1

Hi All,

Had a pretty good look on forum here and couldn’t find the answer.

If I’m outside Portugal and receiving the legal advice for my GV application, is the lawyer required to charge Portuguese VAT on their fees ?

2

I don’t think so.
If you are residing outside the EU then VAT may not be charged.
I had this question when I paid to my property surveyor in PT and he ended up not charging the VAT.

3

Just one thing to make sure is that the address written on the invoice must be outside portugal for you. You can transfer funds from within Portugal bank also.

4

No, I never paid VAT on my lawyer´s fees.
Fees will not be subject to VAT when they are issued to non-EU individuals or companies, so as long as your address (on the invoice) is outside EU there is no VAT due (for legal services).

5

Can I ask if that means I don’t need to pay VAT to my property management, if I’m a non-EU resident and currently living outside of Portugal? Thanks!

6

My lawyer is insisting that I owe VAT on legal fees, even though I am a non-tax resident and live outside Portugal. Is there a specific citation to the VAT code I can cite to them to communicate that VAT should not be charged in this situation?

7

Assuming you’re a private individual outside the EU, I think it might be Article 6, paragraph 11(c) of the Codigo IVA:

Não obstante o disposto na alínea b) do n.º 6, não são tributáveis as prestações de serviços adiante enumeradas, quando o adquirente for uma pessoa estabelecida ou domiciliada fora da Comunidade…Prestações de serviços de consultores, engenheiros, advogados, economistas e contabilistas, e de gabinetes de estudo em todos os domínios, compreendendo os de organização, investigação e desenvolvimento;

Notwithstanding the provisions of subparagraph (b) of paragraph 6, the supplies of services enumerated below shall not be taxable when the recipient is a person established or domiciled outside the Community… Supplies of services by consultants, engineers, lawyers, economists, and accountants, and by study bureaus in all fields, including those of organization, research, and development;

https://info.portaldasfinancas.gov.pt/pt/informacao_fiscal/codigos_tributarios/civa_rep/Pages/iva6.aspx

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