For more information on how to avoid double taxation, you can contact our law firm in Portugal. From the point of view of national tax legislation, in parallel with international tax legislation, it should be noted that the provisions agreed in bilateral tax treaties prevail over the provisions of domestic law in the event of conflict. The Convention on the Prevention of Double Taxation will apply primarily to national law where a non-resident subject meets the application of the convention. In this case, the State of residence is solely responsible for the taxation of the resident`s income, including income collected in the state in the territory from which the subject is foreign to the territory. The specific provisions applicable to border workers are contained in the following double taxation conventions: on the other hand, the exception to this mandatory rule is the situation in which the non-resident does not meet the conditions set out in a bilateral agreement or if such an agreement does not exist, so that only the State of origin (on which the income obtained is taxable) applies the internal tax policy to the income of non-residents operating on its territory. India has signed double tax evasion agreements (DBAA) with the majority of countries and limited agreements with eight countries. The treaties provide for income that would be taxable in one of the contracting states, based on the understanding of the nations, the conditions of taxation and the exemption from tax. Currently, the application of double taxation and ways to avoid legal and economic harm are governed by the standards of the tax code. Two legislative provisions to avoid double taxation can thus be envisaged: first, national legislation and, second, international treaties ratified by Portugal. It is advisable to speak with our lawyers in Portugal and ask for legal aid if you set up a business in Portugal or to better understand the tax structure of that country.

In international practice, there are three fundamental methods to eliminate double taxation: Portugal has so far signed double taxation agreements with: South Africa, Algeria, Austria, Barbados, Belgium, Brazil, Bulgaria, Cape Verde, Canada, Chile, China, Cyprus, Colombia, Korea, Cyprus, Denmark, United Arab Emirates, Slovenia, Spain, United States of America, Estonia, Finland, France, Guinea-Bissau, Netherlands, Netherlands, Hong Kong, Hungary, Indonesia , Iceland, Iceland, Italy, Japan, Kuwait, Latvia, Lithuania, Luxembourg, Macau, Malta, Morocco, Mexico, Mozambique, Norway, Panama, Pakistan, Peru, Poland, Qatar, Great Britain, Czech Republic, Republic of Moldova, Slovak Republic, Republic of Uruguay, Romania, Russia, Singapore, Sweden, Switzerland, Timor-Leste, Tunisia, Turkey, Ukraine, Venezuela. India stressed that its agreement with Portugal was broader than the new global rules on dividend taxation.