Tax breaks for reforestation, fire prevention, climate change adaption

PORTUGAL – The clearing of undergrowth in forests, reforestation and forest adaptation operations are to be eligible for tax breaks for both corporate and personal income tax, with a bonus of 40% of the costs involved, according to legislation.

According to the ordinance published in the state journal, the tax break covers the costs of operations to protect forest against fires, the drafting of forest management plans, forest certification and operations to mitigate or adapt forests to climate change for taxpayers involved in an economic activity relating to forests and keeping full accounts.

“Objectives associated with the creation of this regime are forest planning and management, as well as the prevention of and support for the combat of forest fires,” states the legislation, which was signed by the secretaries of state for tax and for forestry affairs and rural development.

According to the ordinance, there are also to be tax breaks for operations to replant areas burned or affected by natural disasters or catastrophes and also to “control woody invasive species”.

The ordinance comes into force on Friday with retrospective effect from the beginning of this year.

Print Friendly, PDF & Email
WP-Backgrounds Lite by InoPlugs Web Design and Juwelier Schönmann 1010 Wien