Joaquim Pedro Lampreia is quoted in an article in the Jornal de Negócios, entitled ‘Taxpayers will be able to recover guarantees in stalled cases’, which enforces the rule allowing guarantee withdrawals in tax cases pending for over four years in Administrative and Tax Courts.

This amendment to the Code of Procedure and Tax Procedure (CPPT), introduced in 2021, is only now taking effect, allowing taxpayers to request the cancellation of guarantees provided, such as bonds or bank guarantees, in order to avoid tax foreclosures. The measure aims to reduce the delay in resolving tax cases, allowing taxpayers to recover amounts withheld while awaiting a court decision.

Joaquim Pedro Lampreia emphasises that the first step is up to the taxpayer, who must submit a well-founded request to the court, and the Tax Authority (AT) will have the opportunity to comment. However, the VdA lawyer warns that the courts may be reluctant to automatically grant all requests: The judge can refuse to allow the guarantee to lapse if they believe there is a ‘serious risk of harm to the state, but this decision will have to be duly substantiated’, he explains.

A significant increase in the number of applications is expected from 28 February, which could pose an additional challenge in managing the volume of cases. In addition, the question remains as to whether this new reality could contribute to a faster resolution of disputes that have been awaiting a decision for several years.

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