- PT
- FR
- EN
- Português
- Français
- English
New Local Accommodation (AL) Law 2023
New Local Accommodation (AL) Law 2023
Condominium
Whenever the place of local accommodation (AL) is registered in an autonomous unit of a building under horizontal property regime that is intended, in the constitutive title, for habitation, the registration must be preceded by a decision of the condominium for use of the exercise of the local accommodation activity.
Licence
The local accommodation establishment's registration number is personal and non-transferable
Duração
The registration of a local accommodation establishment lasts for five years, renewable for equal periods
New Local Accommodation Establishment Registrations
The issuing of new local accommodation establishment registrations, under Decree-Law no. 128/2014, of 29 August, concerning flats and accommodation establishments integrated in an autonomous fraction of a building, is suspended throughout the national territory, with the exception of the inland territories identified in the annex to Ministerial Order no. 208/2017, of 13 July, under the terms set out in the following paragraphs.
Condominium assembly,
In the event that the local accommodation activity is carried out in an autonomous fraction of a building or part of an urban building that can be used independently, the condominium owners' meeting, by resolution of at least two-thirds of the permilage of the building, may oppose the exercise of the local accommodation activity in said fraction, except when the constitutive title expressly provides for the use of the fraction for local accommodation purposes or there has been an express resolution of the condominium owners' meeting authorising the use of the fraction for that purpose.
Inactive registrations expire
Within two months of the date of entry into force of this law, (i.e. by 07 December 2023), holders of local accommodation registrations are obliged to prove, by submitting a tax return , that they are continuing to operate the business, communicating that they are doing so on the RNAL platform - National Local Accommodation Register, via the Single Electronic Counter provided for in article 6 of Decree-Law no. 92/2010 of 26 July.
Failure to comply with the provisions of the previous paragraph will result in the cancellation of the respective registrations, by decision of the mayor of the municipality with territorial jurisdiction.
Extraordinary contribution
An additional contribution is created for flats and lodging establishments integrated in an autonomous fraction of a building providing local accommodation, the regime of which is approved in the annex to this law and of which it forms an integral part (CEAL).
Transfer of local accommodation properties for long term rental
1 - Property income arising from rental contracts for permanent housing is exempt from IRS and IRC taxation, provided that the following conditions are cumulatively met:
a) The income results from the transfer of property used for the operation of local accommodation establishments to be rented out for permanent residence;
b) The local accommodation establishment was registered and used for this purpose until 31 December 2022;
c) The lease contract is signed and registered on the Finance Portal by 31 December 2024.
2 - The exemption provided for in the previous paragraph shall apply to property income obtained until 31 December 2029."
More information
There are 2 main types of rentals:
- Short Term Rentals (seasonal rentals);
- Long term rentals.
In this section, we will give you the main differences between these 2 types of rentals in order for you to better understand and choose the one that best suits you. Of course, in real estate matters, location is one of the most important aspects.
Depending on the location of your property, it may be more interesting for you to choose one or the other type of rental or you may have no choice and have to opt for a long-term rental (since your property is located in a restriction zone - published in the Official Gazette on 22 August 2018, Law No. 62/2018, which approved a series of changes to the legal regime for the operation of local accommodation establishments).
Then there are criteria such as typology, furnished/unfurnished, parking-garage, near shops, near the beach, etc.... that influence the choice of renting.
In this article we will talk about the main lines concerning private landlords rather than businesses.
Condominium
Whenever the place of local accommodation (AL) is registered in an autonomous unit of a building under horizontal property regime that is intended, in the constitutive title, for habitation, the registration must be preceded by a decision of the condominium for use of the exercise of the local accommodation activity.
Licence
The local accommodation establishment's registration number is personal and non-transferable
Duração
The registration of a local accommodation establishment lasts for five years, renewable for equal periods
New Local Accommodation Establishment Registrations
The issuing of new local accommodation establishment registrations, under Decree-Law no. 128/2014, of 29 August, concerning flats and accommodation establishments integrated in an autonomous fraction of a building, is suspended throughout the national territory, with the exception of the inland territories identified in the annex to Ministerial Order no. 208/2017, of 13 July, under the terms set out in the following paragraphs.
Condominium assembly,
In the event that the local accommodation activity is carried out in an autonomous fraction of a building or part of an urban building that can be used independently, the condominium owners' meeting, by resolution of at least two-thirds of the permilage of the building, may oppose the exercise of the local accommodation activity in said fraction, except when the constitutive title expressly provides for the use of the fraction for local accommodation purposes or there has been an express resolution of the condominium owners' meeting authorising the use of the fraction for that purpose.
Inactive registrations expire
Within two months of the date of entry into force of this law, (i.e. by 07 December 2023), holders of local accommodation registrations are obliged to prove, by submitting a tax return , that they are continuing to operate the business, communicating that they are doing so on the RNAL platform - National Local Accommodation Register, via the Single Electronic Counter provided for in article 6 of Decree-Law no. 92/2010 of 26 July.
Failure to comply with the provisions of the previous paragraph will result in the cancellation of the respective registrations, by decision of the mayor of the municipality with territorial jurisdiction.
Extraordinary contribution
An additional contribution is created for flats and lodging establishments integrated in an autonomous fraction of a building providing local accommodation, the regime of which is approved in the annex to this law and of which it forms an integral part (CEAL).
Transfer of local accommodation properties for long term rental
1 - Property income arising from rental contracts for permanent housing is exempt from IRS and IRC taxation, provided that the following conditions are cumulatively met:
a) The income results from the transfer of property used for the operation of local accommodation establishments to be rented out for permanent residence;
b) The local accommodation establishment was registered and used for this purpose until 31 December 2022;
c) The lease contract is signed and registered on the Finance Portal by 31 December 2024.
2 - The exemption provided for in the previous paragraph shall apply to property income obtained until 31 December 2029."
More information
Condominium
Whenever the place of local accommodation (AL) is registered in an autonomous unit of a building under horizontal property regime that is intended, in the constitutive title, for habitation, the registration must be preceded by a decision of the condominium for use of the exercise of the local accommodation activity.
Licence
The local accommodation establishment's registration number is personal and non-transferable
Duração
The registration of a local accommodation establishment lasts for five years, renewable for equal periods
New Local Accommodation Establishment Registrations
The issuing of new local accommodation establishment registrations, under Decree-Law no. 128/2014, of 29 August, concerning flats and accommodation establishments integrated in an autonomous fraction of a building, is suspended throughout the national territory, with the exception of the inland territories identified in the annex to Ministerial Order no. 208/2017, of 13 July, under the terms set out in the following paragraphs.
Condominium assembly,
In the event that the local accommodation activity is carried out in an autonomous fraction of a building or part of an urban building that can be used independently, the condominium owners' meeting, by resolution of at least two-thirds of the permilage of the building, may oppose the exercise of the local accommodation activity in said fraction, except when the constitutive title expressly provides for the use of the fraction for local accommodation purposes or there has been an express resolution of the condominium owners' meeting authorising the use of the fraction for that purpose.
Inactive registrations expire
Within two months of the date of entry into force of this law, (i.e. by 07 December 2023), holders of local accommodation registrations are obliged to prove, by submitting a tax return , that they are continuing to operate the business, communicating that they are doing so on the RNAL platform - National Local Accommodation Register, via the Single Electronic Counter provided for in article 6 of Decree-Law no. 92/2010 of 26 July.
Failure to comply with the provisions of the previous paragraph will result in the cancellation of the respective registrations, by decision of the mayor of the municipality with territorial jurisdiction.
Extraordinary contribution
An additional contribution is created for flats and lodging establishments integrated in an autonomous fraction of a building providing local accommodation, the regime of which is approved in the annex to this law and of which it forms an integral part (CEAL).
Transfer of local accommodation properties for long term rental
1 - Property income arising from rental contracts for permanent housing is exempt from IRS and IRC taxation, provided that the following conditions are cumulatively met:
a) The income results from the transfer of property used for the operation of local accommodation establishments to be rented out for permanent residence;
b) The local accommodation establishment was registered and used for this purpose until 31 December 2022;
c) The lease contract is signed and registered on the Finance Portal by 31 December 2024.
2 - The exemption provided for in the previous paragraph shall apply to property income obtained until 31 December 2029."
More information
New Registrations of Local Accommodation Establishments in Inland Territories are possible
List of Inland Territories (ANNEX Ordinance no. 208/2017)
Algarve Concelhos :
Alcoutim
Aljezur
Castro Marim
Monchique
Vila do Bispo
Loulé (Alte - Ameixial - Salir - União de freguesias de Querença, Tôr e Benafim)
Silves (São Marcos da Serra)
Tavira (Cachopo - Santa Catarina da Fonte do Bispo)
New Registrations of Local Accommodation Establishments in Inland Territories are possible
List of Inland Territories (ANNEX Ordinance no. 208/2017)
Algarve Concelhos :
Alcoutim
Aljezur
Castro Marim
Monchique
Vila do Bispo
Loulé (Alte - Ameixial - Salir - União de freguesias de Querença, Tôr e Benafim)
Silves (São Marcos da Serra)
Tavira (Cachopo - Santa Catarina da Fonte do Bispo)
New Registrations of Local Accommodation Establishments in Inland Territories are possible
List of Inland Territories (ANNEX Ordinance no. 208/2017)
Algarve Concelhos :
Alcoutim
Aljezur
Castro Marim
Monchique
Vila do Bispo
Loulé (Alte - Ameixial - Salir - União de freguesias de Querença, Tôr e Benafim)
Silves (São Marcos da Serra )
Tavira (Cachopo - Santa Catarina da Fonte do Bispo )
New Registrations of Local Accommodation Establishments in Inland Territories are possible
List of Inland Territories (ANNEX Ordinance no. 208/2017)
Algarve Concelhos :
Alcoutim
Aljezur
Castro Marim
Monchique
Vila do Bispo
Loulé (Alte - Ameixial - Salir - União de freguesias de Querença, Tôr e Benafim)
Silves (São Marcos da Serra )
Tavira (Cachopo - Santa Catarina da Fonte do Bispo )
New Registrations of Local Accommodation Establishments in Inland Territories are possible
List of Inland Territories (ANNEX Ordinance no. 208/2017)
Algarve Concelhos :
Alcoutim
Aljezur
Castro Marim
Monchique
Vila do Bispo
Loulé (Alte - Ameixial - Salir - União de freguesias de Querença, Tôr e Benafim)
Silves (São Marcos da Serra )
Tavira (Cachopo - Santa Catarina da Fonte do Bispo )
