Gift Tax: Sending Money to Friends

Portugal does not have inheritance tax between close family (spouses, parents, children). However, donations or cash transfers to anyone else (friends, siblings, unmarried partners) are subject to 10% Stamp Duty (Imposto do Selo).

If you transfer €5,000 to a friend, you are legally required to declare it to Finanças and pay €500. Banks flag large transfers, so be cautious with informal loans or gifts.