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Tax and licenses for b and b Business.

741 Views 4 Replies 3 Participants Last post by  saphy99
I am looking at a property to run as a B and B. It has 6 letting rooms and a apartment for us to live in.

Can anybody give us information on the tax situation on this and also what local licenses we will need to run such a business?

Also what would be the council tax situation on such a property?

Many thanks.
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As your a new member them you can't use PM's until you've done 5/6? Posts.
When you can PM, then a friend of mine has all the details, forms etc and they could then be e-mailed to you.

If you want to be legal then you must have an AL Licence,(Alojamento Local) there is no cost to getting one, although there are a few hidden costs as you need simple line drawings of property, certificates for gas and electric, complaints book and a few other bits.

Certain areas you should be aware of with property, if it has a bore hole, well or a water mine then these must be (bore hole) licenced or registered with your Regional Water Board.

As occupancy is a possible +10 then if connected to mains drainage fine, if connected to a Fosse (Septic tank) then it should be of sufficient capacity and must be registered with your Regional Water Board. Again there is no cost to registration but often easier to use an agent 50-70€

Application forms are straightforward and dealt with at your Camra, there is a timescale they must adhere too, most of the conditions are straight forward and things you would do or have in place anyway.
No doubt you want to know if permission can be refused, well yes but this application is more of a dotting i's and crossing t's than anything, I can only suggest you ask at the Camra for their views before you commit yourself, applications are addressed to the President of Camra's office.

Council tax isn't affected, but generally property is revalued when sale/purchase done anyway.

You are required to file a yearly tax return for that you really need to speak to an accountant as tax etc will depend on any other income you might have.
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Hi and welcome.

What area are you looking at for your B&B???
Canoe Man,

thank you so much, that is really helpful.

We are looking in central Portugal.


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