Anexo J
Annex J: Foreign Income
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The IRS annex for declaring income earned outside Portugal: employment, dividends, interest, rental income, or capital gains from other countries. Required for tax residents with any foreign income.
Anexo J is where foreign income goes in your Portuguese IRS return. If you're a tax resident in Portugal and earned any income outside the country, salary, bank interest, dividends, rental income, capital gains, it belongs on Anexo J.
What counts as foreign income
Any income sourced from outside Portugal:
- Employment income from a foreign employer
- Bank interest from accounts in other countries
- Dividends from foreign investments
- Rental income from property abroad
- Capital gains from selling foreign assets
The income category matters, employment goes in one section, capital income in another, each with its own campos.
No minimum threshold
AT doesn't have a minimum amount below which foreign income can be ignored. Even small amounts like bank interest of €95 from a Swedish account will eventually appear in AT's records through automatic EU information sharing (the Common Reporting Standard). Our founder learned this the hard way when AT flagged him for undeclared foreign income from 2022, four years after the fact.
Double taxation relief
If you paid tax on the income in the source country, Anexo J has fields for declaring the foreign tax paid. Portugal's tax treaties generally allow you to credit foreign tax against your Portuguese liability, so you're not taxed twice. You'll need documentation, tax certificates, withholding statements, or foreign tax returns, to support the claim.
Keep your proof
AT can request documentation for the last 4 years. Keep foreign bank statements, dividend summaries, employment contracts, and proof of tax paid abroad for at least 6 years. Store them digitally, organized by tax year.
Frequently asked questions
What is Anexo J?
Anexo J is where you declare income earned outside Portugal on your annual IRS return. This includes foreign employment income, bank interest, dividends, rental income, and capital gains. As a Portuguese tax resident, you must declare your worldwide income. Anexo J is where the foreign portion goes.
Do I need Anexo J if I only earned a small amount abroad?
Yes. There is no minimum threshold. Even €95 in bank interest from a foreign account must be declared. EU countries share financial data automatically through the Common Reporting Standard. AT will eventually know about it.
What about double taxation?
If you paid tax on foreign income in the source country, you can claim double taxation relief on Anexo J. You'll need proof of the tax paid abroad. Portugal has tax treaties with most EU countries and many others that prevent you from being taxed twice on the same income.
Related terms
Portugal's personal income tax: the annual tax that solo entrepreneurs pay on their individual income, declared each spring for the previous year's earnings.
Personal Income TaxIRSThe English name for IRS (Imposto sobre o Rendimento das Pessoas Singulares): the annual tax on individual income in Portugal, including freelance and self-employment earnings.