Combating Money Laundering and Terrorism
23 November 2020
The European Union has tightened the rules for combating money laundering and terrorism, therefore, the Portuguese Law no. 58/2020, of 31st August 2020 has entered into force on 1st September 2020. This law transposes Directive (EU) 2018/843 of the European Parliament and of the Council of 30th May 2018 amending Directive (EU) 2015/849 and Directive (EU) 2018/1673 of the European Parliament and of the Council of 23rd October 2018, amending several laws.
Among many policies, this increased set of rules now provides the legal system guidance about the use of cryptocurrencies and specially, the increased number of entities that are now required to report and communicate to the authorities a large number of clients’ personal information and documentation in case any suspicious activity occurs.
These entities, law firms and real estate agencies included, need to comply with customer due diligence and “Know Your Customer” duties when providing a large number of services. These obligations imply collecting a considerable amount of information and documentation from their clients prior to the provision of that service and are required to store that data for a period of 7 years.
Luís Maria Branco | Lawyer
Brexit changed UK citizens' residency status in Portugal. Learn how the Withdrawal Agreement affects permanent residence rights for Britons living in Portugal.
Discover Portugal's new Job Seeker Visa for qualified professionals. Find out eligibility requirements, application process, and career opportunities in 2025.
Comprehensive overview of Portugal taxation on ETFs, shares, bonds and crypto, covering capital gains, tax rates and resident regimes such as IFICI+ and NHR.
"Hiring Portuguese freelancers offers flexibility for foreign firms, but misclassification risks in contracts can lead to heavy penalties and unexpected liabilities.
Foreign companies must distinguish contractors from employees in Portugal, as each is governed by a distinct legal regimes with different obligations in Portugal.
Birth in Portugal doesn’t guarantee nationality. Under Article 1(1)(f), it depends on parents’ status at birth, residence, and absence of diplomatic service.
Portugal’s Parliament approved a bill to tighten immigration laws, signaling a shift from flexible policies to stricter, more regulated migration controls.
Portugal’s State Budget Proposal for 2026 continues the Government’s gradual approach to fiscal reform, maintaining stability while introducing selective tax relief for households and businesses.
Changing residence permit types in Portugal is possible under Law 23/2007 and its regulation, if the legal framework is carefully applied to evolving situations.