Advice on selling Apt in Portugal

Hi.I have an Apt in Portugal with rental incone for 5 years since 07,And of course like every one else im feeling the pinch with the Economy.but especially with all the different taxes and expences that im been charged.eg IMI Property tax twice a year approx 250euro each time,Eurofinesco Charges for Preperation and filing Income tax etc 240euro,Income tax on rental income 336euro on each of two cheques (672euro).And i think another like IVI or something,Also to declare in come at home in Ireland which im sure will lead to more expence.Can anyone tell me if this the norm or give me advice on this as its taking the good out of the whole thing,Also whats the best wayto go abt selling?

It's the worst possible time to sell anything, so the best advice is probably to hold it until things improve. The key consideration here is whether the rent you are getting is genuine or part of a "guaranteed rent" scam. If the latter, you have already been had and there is nothing you can do about it except to accept the fact. If the rent is real however, then you have an asset that is performing at least, and that is at its lowest value right now, so of course you should hold on to it in those circumstances.
As for taxes, they're part of life!

Hi Lollix.Thanks for advice.How could i find out it the renral income is genuine or not? Whats the best way to go abt selling,through an irish agent or Portuguse one.Or if i were to find a client could i do the selling through a solicitor? Also if i were to sell within the 5 year rental period would i be penilised..And say if i didnt declare this small income to the revenve whats the concequences.I thought that if i paid the taxes due in Portugal i wouldnt have to pay more here within the EU..Whats your experience on these Matters?..Thankg again.

Billy67 said:

I thought that if i paid the taxes due in Portugal i wouldnt have to pay more here within the EU. ....
And say if i didnt declare this small income to the revenve whats the concequences.

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Why did you think that? You need to get some advice on the tax treaty between Ireland and Portugal, and the amending protocol. [broken link removed] You can claim credits in one country for taxes paid in the other so that you avoid double taxation, but you would still normally at least have to declare rental income and capital gains in both countries. Articles 6,13, and 23 are the normal one for dealing with immovable property. This is also explained with examples on the revenue web site in a special section on foreign property. Portugal is obviously a "tax-agreement" country. See http://www.revenue.ie/en/personal/buy-sell/foreign-property/index.html See also e.g. [broken link removed] You never know, you might actually be better off by declaring, so it's at least worth checking.[broken link removed]

Hi Martin77.Ok thanks,I think i need to learn a bit about this,So who would be best to contact,an Accountant or Solicitor?

Billy67 said:

Hi Martin77.Ok thanks,I think i need to learn a bit about this,So who would be best to contact,an Accountant or Solicitor?

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Tax advisor or failing that an accountant. You need to make sure that you are claiming all you can on the costs side, because the double taxation agreement usually effectively means that you end up paying the higher one of the two taxes of Ireland or Portugal. But watch out. There are not many accountants and tax advisors who can optimize things internationally. An awful lot of them can optimize within their own country, but make sure you don't end up paying for two accountants (one in the UK and one in Portugal) to talk to each other to come up with some creative scheme that ends up costing you more in fees than it saves you in tax. Best idea would probably be to find someone (one of your Irish neighbors in Portugal?) to give you a recommendation.