Portugal starts the 2011th with new amendments to corporate law: there is no more minimum share capital for private limited liability companies and depositing the determined share capital not shall be completed before the initiation of the economic activity but rather by the end of the first year of operations.

The Portuguese CFC rules follow the path of other European countries: assessing the shareholding threshold in a non-resident company, verifying its location in the low-tax jurisdiction, evaluating profit generating activity and taxing on the income before dividend distribution.

Such insurance is mandatory for all companies with no exception, regardless of its size or the number of workers.

The recent years have brought material and significant reforms into the Portuguese company legislation, with some amendments aiming to simplify company governing acts and procedures as well as diminishing bureaucratic aspects that so often stem the economic development of a company.