A Número de Identificação Fiscal (NIF), or Taxpayer Identification Number (TIN), is a unique nine-digit number assigned to both nationals and non-residents for tax purposes. It’s a pivotal element of the Portuguese tax system.
What is a NIF in Portugal ?
A Número de Identificação Fiscal (NIF), or Taxpayer Identification Number (TIN), is a unique nine-digit number assigned to both nationals and non-residents for tax purposes. It’s a pivotal element of the Portuguese tax system. This number allows the identification of each taxpayer and their tax obligations, which are necessary for making a registration request or submitting a tax return. It is commonly referred to as a "fiscal number" or "taxpayer number" for individuals and appears on various tax documents, including income tax returns, corporate tax returns, income tax notices, housing tax, and property tax.
Why do I need a NIF in Portugal ?
The taxpayer number allows you to declare to the tax authorities and to the clerk of the commercial court your tax information, and your trade register. Below, we try to mentions as much relevant situations requiring a NIF:
1. Legal Residency:
Having a NIF (Número de Identificação Fiscal) in Portugal is essential for anyone who wants to establish legal residency in the country. It serves as a primary identifier for foreigners, ensuring that they are recognized by the Portuguese authorities for various administrative processes.
2. Tax Obligations:
Your NIF is your Tax Identification Number. Every financial transaction, tax payment, and income reporting mechanism requires a NIF. Whether you're a resident or doing business in Portugal, this number ensures your tax obligations are accurately recorded and fulfilled.
3. Banking:
Opening a bank account in Portugal necessitates presenting a NIF. Banks require this to ensure compliance with financial regulations and to monitor all transactions under your name for tax purposes.
4. Real Estate:
Whether buying, selling, or renting property in Portugal, a NIF is mandatory. It's used to register the property transaction, ensuring that all related taxes (like property taxes or stamp duty) are correctly attributed.
5. Employment:
Employers in Portugal need your NIF to register you as an employee, ensuring that income tax and social security contributions are correctly processed. It's also essential for freelancers and independent contractors when invoicing clients.
6. Utilities:
Setting up water, electricity, or gas services? Utility companies in Portugal will ask for your NIF to initiate any service contract, ensuring that the billing and service provision is properly documented.
7. Mobile & Internet Contracts:
Telecommunication providers require a NIF to register your mobile or internet contract. This is crucial for contract enforcement, billing, and tax purposes.
8. Insurance:
Whether it's health, car, or home insurance, providers need your NIF to establish the insurance policy. It aids in ensuring the appropriate tax implications and in recording the policy.
9. Vehicle Registration:
If you're registering or purchasing a vehicle in Portugal, the NIF is needed to ensure that all related taxes and duties are appropriately assigned and processed.
10. Public Services:
Accessing public services, like health care or public transportation, might require your NIF as proof of residency and for tax implications.
11. Business Activities:
Starting a business or even conducting business transactions requires a NIF. It ensures that all corporate tax obligations are correctly recorded and handled.
12. Investments:
For those looking to invest in stocks, bonds, or other financial instruments in Portugal, a NIF ensures that capital gains and other related taxes are correctly handled.
13. State Benefits & Grants:
Applying for state benefits, subsidies, or grants requires a NIF to verify eligibility and ensure proper allocation of funds.
14. Education:
Registering for schools, universities, or any other educational institutions in Portugal? They'll ask for a NIF to ensure correct documentation and potential tax-related aspects (e.g., education deductions).
15. Legal Documentation:
Any form of legal paperwork, be it wills, contracts, or certifications, will require a NIF in Portugal for proper documentation and verification.
16. Online Shopping:
Many e-commerce platforms in Portugal require a NIF for transactions. This helps in monitoring and ensuring that the appropriate Value Added Tax (VAT) is applied and collected.
Required Documents to get a NIF in Portugal
For EU citizens, a National ID card will suffice; otherwise, a passport is required. Additionally, you'll need to present proof of address, which can be any official document like a driver's license, bank statement
Obtaining a NIF by visiting the Finança or the Loja do Cidadao
When it comes to people with the legal status of European Union citizens, the administrative steps to get a tax identification number are quite simple. Whether you are in France, Spain or Germany, you can request a NIF number by yourself, by going to the Finanças office, with an ID document and a proof of address from outside of Portugal. That said, it’s easier said than done, since most people working there do not speak any other language than Portuguese, not even a bit of english, so being understood is often really difficult.
Since COVID-19, you can’t just go to the Finanças office and do your request, you must take an appointment by phone, but nobody on the phone hotline speaks english, so you will have to speak Portuguese to say that you want one, and you will have to understand what they say since they won’t send you a confirmation for the appointment.
Obtaining a NIF: applying online and receiving it by email
Any individual wishing to obtain a personal identification number can initiate the administrative steps via an online service who will do the request on your behalf. To obtain a NIF in Portugal online, you will need to get a fiscal representative, who must be a Portuguese resident, to do the request on your behalf. But can you still get one if you don’t know anyone in Portugal ? Usually, what you can do is hire a law firm that will request your NIF for you and act as your fiscal representative. The only problem with that is that most of the time it’s really expensive, and will take a longer time than alternative methods.
Nowadays though, other methods exist, to help you request your NIF at a fair price. For example, you can make your request to get a NIF in Portugal online through companies like us, who will act as your representative until you arrive and change it.
Get your NIF with AnchorLess now!
Obtaining a NIF in Portugal through a lawyer
Today, there are lawyers who assist individuals who wish to obtain a tax identification number. Being legal professionals, they gather all the supporting documents while carrying out the formalities to obtain your number. Such a practice of obtaining a tax identification number is particularly relevant for individuals who do not reside in an EU member state. This is possible because Non-EU residents need a tax representative to get a tax identification number.
In fact, the lawyer or the company must act as such since these professionals have the legal status to do so. Regardless of the administrative steps to be taken, legal specialists are able to obtain the registration number for you by asking only for a few official documents such as the identity card of your country of origin, passport, etc. That said, it’s also the priciest way of getting a NIF in Portugal, as a lawyer will have very high prices, often going over 1000 euros.
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