IRS
- Simplified Scheme
IRS –
Personal Income Tax
Framework
The simplified scheme applies to
taxable persons who, by not choosing the organized
accounting scheme, have not exceeded any of the
following limits in the previous taxation period:
a) Turnover (annual): 149
739,37€;
b) Gross value of the remaining
income of such category: 99 759,58€.
The simplified scheme does not apply
to taxable persons that are compelled, by legal
requirement, to have an organized accounting.
Option of organized accounting
4 – The option referred in nr. 2 must
be formalized by the taxable persons:
a) In the declaration of start-up;
b) Until the end of March of the
year in which they intend to have the organized
accounting as a way of assessing the income, on
presentation of the declaration of alterations.
5 – The minimum period for staying in
the simplified scheme is of three years, being able to
be automatically extended for the same period, except if
the taxable person chooses, upon the terms of item b) of
the previous paragraph, the option of an organized
accounting scheme.
6 – The simplified scheme shall cease
whenever any of the limits referred in nr. 2 is exceeded
in two consecutives periods of taxation or in one fiscal
year whenever the amount goes 25% beyond that limit,
case in which the taxation by organized accounting
scheme is made from the period of taxation following the
occurrence of those facts.
10 – In the fiscal year of the
start-up, and after verifying the rest of the
presuppositions, the framework of the simplified scheme
is made in compliance with the annual value of the
estimated profits appearing in the declaration of
start-up, should the option referred in nr. 2 of the
article herein is not chosen.
Article 28 IRS Code
Taxable
Income
While the
indicators foreseen by the law are not published, the
taxable income results from the application of the ratio
of 0,20 to the total amount of sales of goods and
products, and of the ratio of 0,70 to the remaining
income deriving from such category, excluding the
variation of the production, the minimum amount being
equal to half of the
highest national minimum wage.
(Article
31 of IRS Code)
Personal Income Tax
Code
.
This note is
only for information and does not hold its divulgers
responsible. For thorough information you must consult
the Law.
