Alojamento Local licence Portugal

If you’re Dutch and thinking about moving to Portugal, renting out your new home (or part of it) to tourists can be an appealing way to generate income. In Portugal, this is generally done through an "Alojamento Local" (AL) licence. This guide covers what you need to know about getting an AL licence, the steps and authorities involved, and key considerations for Dutch expats.

What Is an Alojamento Local Licence?

An Alojamento Local (AL) licence is a local accommodation licence required to legally rent out property on a short-term basis (such as Airbnb or Booking.com) in Portugal. The rules can differ depending on the type of property (apartment, villa, rooms), and the municipality. The AL regime is regulated at municipal level and overseen nationally by Turismo de Portugal.

Step 1: Check Local Regulations and Restrictions

Before starting any application, check your local municipal (Câmara Municipal) regulations. Some cities, especially Lisbon, Porto, and coastal regions, have introduced restrictions or even moratoriums on new AL licences in certain neighborhoods. AL rules can change, and some condominiums have their own restrictions. Always verify with your local Câmara Municipal and, if relevant, your building’s condominium association.

Step 2: Prepare Your Property and Documentation

To qualify for an AL licence, your property must meet minimum habitability and safety requirements. These typically include:

• Valid habitation licence (Licença de Utilização)
• Fire safety equipment (fire extinguisher, fire blanket, first aid kit)
• Clearly marked emergency exits
• Basic hygiene and comfort standards
• Up-to-date utility installations

You will need to gather the following documents (requirements can vary):

• Proof of ownership or rental contract with landlord’s permission
• Energy certificate (Certificado Energético)
• Habitation licence (Licença de Utilização)
• Copy of your ID or passport
• Portuguese tax number (NIF)
• Floor plans or property description

Requirements may change, so check with your local Câmara Municipal for the latest list.

Step 3: Submit Your Application

Most AL applications are submitted online via the "Balcão do Empreendedor" platform (https://eportugal.gov.pt/). You’ll need a Portuguese tax number (NIF) and, ideally, access to the Digital Mobile Key (Chave Móvel Digital) or a Citizen Card.

Typical steps:

1. Register or log in to the Balcão do Empreendedor portal.
2. Complete the AL application form, including property details and type (entire property, rooms, etc.).
3. Upload all required documents.
4. Pay the application fee if required (fee amounts can vary—check with your municipality).

Once submitted, you’ll receive a provisional registration number, allowing you to legally start renting, but you must display this number on all advertising platforms.

Step 4: Inspection and Compliance

After your application, the local authorities may inspect your property to check compliance with safety and habitability standards. This is not always immediate and may be unannounced. If you fail the inspection, you may be given a deadline to correct any issues.

It’s important to:

• Keep all documentation up to date
• Ensure continual compliance with safety rules
• Display your AL number clearly at the property entrance

Step 5: Taxation and Ongoing Obligations

Registering your AL means you are running a business activity (atividade). You must:

• Register the activity with the Portuguese Tax Authority (Autoridade Tributária e Aduaneira)
• Issue legal invoices (faturas) for all stays
• Declare your income and pay taxes accordingly (IRS for individuals, IRC for companies)
• Collect and remit tourist tax (taxa turística) where applicable
• Submit guest information to SEF (now AIMA) for each stay, for security purposes

Tax rates, obligations, and reporting methods can be complex and may change; it’s advisable to consult a local accountant (contador) familiar with AL businesses.

Costs to Expect

• Application fees: These vary by municipality, typically between €50-€200, but always confirm with your local Câmara Municipal.
• Fire and safety equipment: Budget around €100-€300 depending on property size.
• Accountant fees: Ongoing costs for tax compliance can range from €300-€600 per year, depending on complexity.
• Local taxes: Tourist taxes vary by city (usually €1-€2 per guest per night in major urban areas).

FAQ: Common Questions About Alojamento Local Licences

Do I need to be a resident to get an AL licence? No, you do not need to be a Portuguese resident to apply. However, you must have a Portuguese tax number (NIF) and a representative in Portugal if you are non-resident.

Can I rent out my apartment if the condominium objects? If your building’s condominium regulations specifically prohibit AL activity, you may be blocked from registering. Always check with your condominium association first.

How long does it take to get an AL licence? The process can be quick (a few days to a couple of weeks) if your paperwork is in order and there are no municipal restrictions. Inspections or missing documents can delay approval.

For full details, pitfalls, and expert tips, our complete emigration bundle covers Alojamento Local licensing in-depth.