SISA

[Kidson]

With reference to the information provided courtesy of Biffa and Steen, am I correct in my thoughts that they are at this point in time merely "proposals" and yet to be ratified and formally made 'law' ?

On the assumption I am correct how long does it take in Portugal for "proposals" such as those currently being proposed to come on to the statue books?

I hope the answer is not 'how long is a piece of string?'

[biffa]

Yes these are only proposals but as they are proposed by the Government they should go through with effect from 01.01.2004 with little or no altearation.

I wil keep this Forum posted

[Kidson]

Yes these are only proposals but as they are proposed by the Government they should go through with effect from 01.01.2004 with little or no altearation.

I wil keep this Forum posted

Thanks biffa - However will there not need
to be some categoric statement whereby the 'proposed' reduction in SISA effective from the 1st May to 6% - legally comes into force?

[Kidson]

Any further clarification or confirmation regarding the proposed changes to SISA? As the 1 May is now fast approaching presumably there needs to be some guidance as to how prospective purchasers should proceed.

That said an extract from an article in the 'Resident' reads as follows:-

Sixteen of the Algarve’s câmaras, the majority of which are run by PSD party members, have expressed their “apprehension and preoccupation” over the proposed changes in SISA tax announced recently by the government. Their concern was expressed in a meeting of the Assembleia Inter-Municipal, where members of the Associação dos Municípios do Algarve voted unanimously to oppose the change, which they fear will lead to a reduction in their budgets.

The government has announced plans to substitute Sisa and the Contribuição Autárquica with Imposto Municipal, and to reduce the amount of tax payable when people move house. But the Algarve local authorities believe that the fiscal reform is, “against the law, in as much as it was announced without prior consultation.”

Câmaras presidents expressed their indignation in the face of the government’s plans, and have vowed to oppose the Prime Minister’s plans. Led by the president of Tavira Câmara, social democrat Macário Correia, the AMAL represents 16 Algarvean authorities, nine of which are led by PSD members (Vila do Bispo, Lagoa, Silves, Albufeira, Loulé, Faro, Tavira, Castro Marim and Alcoutim) and seven of which have PS presidents (Aljezur, Lagos, Monchique, Portimão, São Brás de Alportel, Olhão and Vila Real de Santo António).

[Kidson]

Sisa protest

A further extract from this weeks Resident newspaper:-


A refusal by the government to compensate local authorities for any losses they incur due to the proposed changes in SISA tax, has caused a series of protests by câmaras. The Associação Nacional de Municípios Portugueses has called an extraordinary meeting to analyse the government decision, should a series of meetings with parliamentary groups and the President of the Republic “not prove satisfactory”. In a meeting with the Prime Minister, minister of finance and the minister of cities, ANMP members requested that compensation measures be included in the 2004 state budget to cover the loss of revenue caused by the reduction in SISA tax. The proposal was refused by the government, despite protests from local authorities across the country, and ministers have already presented the new bill to parliament with the aim of passing a motion approving the reduced taxes ‘urgently’.