Europe’s Most Competitive Tax Regime

Incorporating a Company in Madeira (Portugal)

If you are looking to incorporate in Portugal (or relocate your company) and still get some tax benefits, feel free to learn more about the Tax Regime on the island by doing the Download our FREE Brochure.

In this brochure, you will find all the information that you need.

* By downloading this document you are agreeing to be part of our mailing list and agree to MCS Privacy Terms.

Why Incorporate in Madeira Island?

From the get-go, the Autonomous Region of Madeira is the Portuguese territory with the highest TAX EFFICIENCY for companies and investors.

2nd Most Competitive
Z

Madeira International Business Center (MIBC)*

Corporate tax rate of 5%1

1st Most Competitive
Z

Autonomous Region of Madeira

Corporate tax rate of 14,7%
3rd Most Competitive
Z

Portuguese mainland

Corporate tax rate of 21%
Learn more on our FREE Brochure with allthe information that you need to start or relocate your company to Portugal.

* – European Union State Aid Regime
1 – applicable only to profit derived from clients that do not qualify as residents, for tax purposes, in Portuguese territory.

What is the Corporate TAX Regime in Madeira?

The BEST Option to Incorporate in Portugal

Z

General Corporate Tax Rate

14,7%
Z

General Corporate Tax Rate of the first EUR 25 000 of profit (Small-Medium Enterprises)

11,7%
Z

Withholding Tax on Dividends

0%3 or 28%
Z

Full-time local employees required

NO4
Z

Investment in Fixed Tangible or Intangible Assets

NO5

* – European Union State Aid Regime
1 – applicable only to profit derived from clients that do not qualify as residents, for tax purposes, in Portuguese territory.
2 – provided shareholders do not qualify as residents for tax purposes in blacklisted jurisdictions.
3 – Participation exemption as foreseen in the Council Directive 2011/96/EU of 30 November 2011 (latest legal version as transposed into Portuguese tax law). Generally speaking, the parent company must hold more than 10% of the subsidiary company’s shares for more than one year. Shareholder companies must not qualify as residents for tax purposes in blacklisted jurisdictions.
4 – The entire economic activity of the MIBC licensed company must be carried out solely by employees who qualify as residents of the Autonomous Region from an immigration and taxation standpoint. The number of employees required varies in proportionately with the taxable profit.
5 – Investment shall be realised in assets located or received within the scope of the MIBC, used within said MIBC and necessary to carry out the business activities conducted within the scope of the MIBC. Furthermore, the assets acquired must remain within the MIBC during the entire period it enjoys this status or during its useful lifetime, whichever period may be shorter, without being transferred. Nor may such assets be leased or ceded to third parties for their use unless the corporate purpose or business activity of the MIBC is such lease or cession, and always provided that there is no direct or indirect link with the lessee or transferee of the said property. It shall be understood that this requirement is not infringed when the goods are transferred and the sum of money realised is reinvested in new fixed assets under the same conditions within the space of one year. In the case of used assets, these may not have been previously applied for a MIBC investment of another company.

Open or Relocate a Company to Portugal (Madeira Island)
Need More Information?
Download our FREE Brochure below to get more details about incorporating in Portugal and the tax benefits.

Who can benefit from this tax incentives?

In Portugal and Madeira Island, you will find one of the Most Competitive Corportate Tax Regimes in Europe.

Companies, International Services Providers and Holdings

Shipping Companies, Vessels & Yachts

It should be noted that general services companies, nevertheless, may also hold participations in addition to the undertaking of their commercial activity.
Why?

Madeira Corporate Services

MCS will help you with all the processes of applying to the Portuguese Golden Visa. Our team counts with several years of experience in Legal, Incorporation and tax advisor in Portugal and abroad.
With us you will have:
Z
Security
Z
Confidence
Z
Quality
Z
Efficiency and Practicality
Z
Responsibility and Fairness
Z
Reliability and Stewardship
Z
Professionalism and Ethics

Need More Information?

If you are looking to incorporate, open a company in Madeira Island (Portugal) and do you want to have more information about the corporate tax regime in Madeira? Feel free to download our brochure.
© All Rights Reserved MCS – Madeira Corporate Services