Decree-Law n.º 74-B/2023, of August 28, was published, which amends the Statute of Administrative and Tax Courts, the Code of Procedure and Tax Process and the regime of the executive process sections of the solidarity system and social security, whose amendments were introduced primarily aimed at strengthening the responsiveness of the administrative and tax courts and optimizing their functioning.

Statute of Administrative and Fiscal Courts (ETAF)

A) Creation of a new court of second instance, the Central Administrative Court Center, with the objective of contributing to the decongestion of the North Central Administrative Court and the South Administrative Court.

B) Creation of specialized subsections in the Central Administrative Courts in order to monitor the growing technical-legal complexity of disputes, which require the application of a framework of very particular principles and rules.

Ø  Administrative section:

·        Common administrative subsection;

·        Social administrative subsection;

·        Public procurement subsection.

 

Ø  Tax section:

·        Common tax subsection;

·        Subsection of tax enforcement and administrative offense appeals.

 

C) Clarification of the scope of jurisdiction of social administrative judgments and public contract judgments, avoiding negative conflicts of jurisdiction:

Ø  social administrative court, its jurisdiction is expected to cover proceedings relating to disputes arising from any type of public employment relationship, instead of being limited solely to disputes arising from employment in public functions.

Ø  judgment of public contracts, the respective scope of jurisdiction is limited to: disputes regarding the validity of pre-contractual acts and the interpretation, validation and execution of the types of contracts expressly provided for in paragraph 1 of article 100 of the Code of Administrative Courts Process, namely, public works contracts, public works concessions, public services concessions, acquisition or rental of movable assets and acquisition of services.

Code of Tax Procedure and Process (CPPT)

Ø  Implementation of the jurisdiction of the Supreme Administrative Court to hear appeals filed against decisions on the merits given by tax courts, when, cumulatively: (i) the parties allege only questions of law; (ii) the value of the case is higher than the jurisdiction of the central administrative courts; and (iii) the value of the loss is greater than half the jurisdiction of the court being appealed.

The amendments to this law came into force on August 29, 2023 and apply to cases pending in tax courts on the date this Decree-Law comes into force.

For additional details please contact us: cabinete.juridico@aip.pt.