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In the end of December, the State Budget for 2018 was approved by the Law n.º 114/ 2017 of December, 29.

The State Budget included some relevant changes, such as modification in the income tax, creation of a new simplified income tax for liberal professionals and other service provider and other benefits in pensions. The minimum has increased to EUR 580.

Also, it is also relevant the Law n.º 110/2017 of December 15, which created fiscal benefits for forest management entities.

In the case-law context, it’s worth noting the judgment of the Court of Justice of the European Union of December 20, 2017, on matters relating to patent law and the judgment of the Court of Justice of December 5, 2017 in Case C -42/17 on compulsory insurance against civil liability in respect of the use of motor vehicles.

The Portuguese Constitutional Court, in the Decision n.º 848/2017, on December 13, declared the unconstitutionality of the Municipal Tax of Civil Protection, contained in paragraphs 1 and 2 of article 59 Article 60 (1) and (2), the first part of Article 61, Article 63 (1) and (2) and Article 64 (1), violation of the provisions of Article 103 (2) and Article 165 (1) (i) of the Constitution of the Portuguese Republic.

Finally, the Portuguese Government started to compensate the farmers affected by the recent October wildfires.


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