In the case of resident individuals, deposit income is subject to IRS withholding at a rate of 28% (19.6% in the case of deposit income earned by residents of the Autonomous Region of the Azores), with the option of aggregation. Tax aggregation is mandatory for business and professional investment returns.

A 35% withholding tax shall always apply when returns are paid into or made available in accounts opened under the name of one or more holders but on behalf of unidentified third-parties, unless the beneficial owner is identified, in which case the general rules shall apply.

Returns on deposits earned by non-residents without a permanent establishment in Portugal to which these returns are attributable are subject to income tax withheld at source, 28% for individuals or 25% for legal persons.

A 35% withholding tax shall apply definitively when said returns are paid into or made available in accounts opened under the name of one or more holders but on behalf of unidentified third-parties, unless the actual beneficiary is identified, in which case the general rules shall apply.
The same 35% withholding tax applies when these returns are paid or made available to individuals or companies without residence or with no permanent establishment in Portugal to which these returns are attributable and that are domiciled in a country, territory or region clearly subject to a more favourable taxation scheme, as per Ordinance 150/2004, of 13 February.

In compliance with the double taxation conventions adopted by Portugal, withholding tax may be limited to 15, 12 or 10%, depending on the applicable convention and provided all legal procedures are observed. Withheld tax may be limited by a partial withholding tax exemption or by refund of the excess amount withheld.

This information is a summary of the tax regime in force at the date of incorporation and does not waive consultation of the applicable legislation.

Deposits opened with Banco Comercial Português, S.A are covered by a refund guarantee from the Deposit Guarantee Fun (Fund) which is activated whenever funds are unavailable strictly due to its financial situation.
The Fund guarantees refunds up to a maximum amount of €100,000 for each depositor.
In calculating the value of deposits for each depositor, the value of the group of deposit accounts on the date on which payment was unavailable is considered, including interest and, for balances in foreign currency, converted into euros at the exchange rate on that day.

For further information please go to www.clientebancario.bportugal.pt/ and www.fgd.pt.