Latest news and stories about expat finances in government in Portugal for expats and residents.
Pensioners will see slightly higher net payments from this month after routine inflation adjustments and new IRS withholding tables were applied; simulations show, for example, a gross €1,000 pension could yield roughly €27 more net. The change reflects updated income‑tax (Imposto sobre o Rendimento das Pessoas Singulares or IRS) withholding rates rather than a direct benefit increase. Pension recipients should check payslips to confirm new net amounts.
The IRS withholding tables are government-published schedules used by employers, pension payers and other payers to calculate how much personal income tax (personal income tax (Imposto sobre o Rendimento das Pessoas Singulares) — IRS) must be deducted from each pay period. They take into account gross pay, pay frequency, marital status and dependents; updates (usually published annually or when the budget changes) affect your monthly take-home pay and are reconciled with your annual tax return (Modelo 3).

DBRS has kept Portugal's sovereign debt rating unchanged but removed any prospect of an upgrade, signalling it does not expect improvement in the near term.
The Canadian rating agency DBRS left Portugal's credit rating unchanged at its recent review and kept the outlook stable, citing continued fiscal progress and a path to a budget surplus in 2025. Outlets note this follows DBRS's upgrade to 'A (high)' last year and is consistent with other recent assessments of Portuguese public finances. Borrowers, investors and anyone monitoring mortgage or bond markets should see this as a sign of continued credit stability.
DBRS Morningstar is a Canadian credit-rating agency that assesses sovereign and corporate creditworthiness; its ratings influence investor confidence and borrowing costs. In January 2025 DBRS upgraded Portugal to A (high) with a stable outlook, kept that rating in a July 2025 review, and most recently chose not to change it — a signal that creditors see Portugal’s finances as relatively solid.

Report on the measure of applying 0% VAT and its purported lack of effect on the State Budget (OE), and how food access and affordability differ across a country with growing economic divisions.

The late-payment interest that the State and public bodies will pay to companies will not change, remaining at 10.15% in the first half of 2026, according to a notice published this Friday in the Diário da República by the new Treasury and Finance Entity, which absorbed the former Directorate-General for the Treasury and Finance. It reflects ...

Credit-rating agency DBRS is reviewing Portugal's sovereign rating today. The outlook could be upgraded if economic indicators and fiscal metrics continue to improve, say analysts.

This Friday will be marked by DBRS's review of Portugal's credit rating; the visits of the Presidents of the European Council and the European Commission to Brazil; President Marcelo Rebelo de Sousa's meeting with the President of Estonia, Alar Karis; and the release by Statistics Portugal (INE) of key figures for December 2025, ...

CTT’s leader says António Costa’s government “applied an excessive remedy” when it replaced Series E.

Analysts expect the credit rating agency DBRS to keep Portugal's current credit rating, although the agency could revise the outlook to a more positive level.

If you hold Savings Certificates in paper form, learn the steps to convert them to the current format and where to go for the exchange.

European Commissioner Maria Luís Albuquerque wants everyone to have access to financial markets to invest, even if they have only saved €10. 'Investing cannot be just for a few,' the former Portuguese minister said in Parliament. 'A person has only managed to save €10, only has €10 to invest; it must be possible to invest those €10.'

The year-on-year inflation rate was 2.2% last December, unchanged from November, setting the average change for 2025 at 2.3%, compared with 2.4% in 2024, the National Institute of Statistics (INE) said today.
As of 10 December 2025, significant changes to the legal framework for credit securitisation will enter into force. These changes concern the 'implementation', in Portugal, of Regulation (EU) 2017/2042, which established a specific regime for simple, transparent and standardised securitisation (the so‑called 'STS securitisation'). As of today, the STS Regulation ...

Portugal’s Tax Authority has published its 2026 calendar and highlighted that one of the early steps for preparing the IRS income‑tax return is notifying the tax office about your household composition — a detail that affects tax filing and benefits. Tax‑paying residents should check the official deadlines and ensure household data are up to date before filing season begins.
The IRS withholding tables are government-published schedules used by employers, pension payers and other payers to calculate how much personal income tax (personal income tax (Imposto sobre o Rendimento das Pessoas Singulares) — IRS) must be deducted from each pay period. They take into account gross pay, pay frequency, marital status and dependents; updates (usually published annually or when the budget changes) affect your monthly take-home pay and are reconciled with your annual tax return (Modelo 3).
Portugal recently revised its return legislation to replace the phrase 'voluntary abandonment' with a formal 'duty to abandon', aligning national rules with EU return standards and making an obligation to leave explicit for third‑country nationals subject to removal decisions. For migrants this clarifies legal responsibilities and can affect the timing and procedures of removals, including when assisted or enforced return measures may be used.

Nuno Leal, co‑CEO of Doutor Finanças, says the tax measures in the government’s housing plan — due to be debated in Parliament on Friday — should help increase supply in the market. He concedes the package tends to favour property owners and landlords but considers it “relatively balanced”, noting the measures are centred on those who hold property while aiming to ease supply constraints. The assessment focuses on likely effects on rental supply and owner incentives rather than specific legislative detail.

Economist Vera Gouveia Barros argues that the most effective element of the Construir Portugal programme is tax relief on rentals, citing an ‘almost mechanical effect’ from a proposed 10% autonomous IRS rate for rents up to €2,300. She suggests this tax cut will directly influence rent levels and landlord behaviour, with likely quick transmission into the market. However, the package omits a dedicated room‑rental option — a gap that could limit lower‑cost housing supply and options for students, workers and expats. Barros’ analysis implies policymakers should pair fiscal incentives with targeted measures for small‑unit and shared accommodation and monitor market adjustments to avoid unintended rent inflation or supply imbalances.

The latest episode of the weekly podcast 'Ao trabalho!' examines lingering uncertainty over tuition fee refunds and the implications for pay awards that recognise qualifications. Finance Minister Joaquim Miranda Sarmento’s response on the pay-award question is discussed alongside fast-moving items on labour policy, employment law and the state budget, with analysis of what these developments mean for workers and expats. The short, under-five-minute episode aims to distil key takeaways and policy consequences for those following workplace rights and public spending.

JP Morgan analysts Aditya Chordia and Matteo Mamprin assign a roughly 50% probability that Moody’s will upgrade Portugal’s sovereign credit rating at its scheduled review in May, putting an upgrade within about four and a half months. The bank’s view reflects an assessment that Portugal’s improving economic fundamentals, fiscal position and lower borrowing costs have materially strengthened its credit profile, reducing downside risks. An upgrade as soon as May would tighten financing spreads, reinforce investor confidence and mark another step in Portugal’s long post‑crisis recovery; market participants should monitor sovereign metrics and rating signals in the run‑up to the review.

The State’s €1,550 million fund to guarantee up to 100% housing finance for young people is almost fully committed: €1,460 million (94%) has already been allocated to banks, leaving under €90 million available for future distributions. The near-exhaustion of the guarantee reduces headroom for new beneficiaries and shifts pressure onto banks and policy makers to consider whether to broaden, renew or restrict the scheme, with implications for the housing market and public finances.

Data from the Ministry of Labour, provided to ECO, shows companies have withdrawn more than €120 million from the Labour Compensation Fund (FCT), with the bulk of disbursements used to finance worker training. Employers can still claim roughly €517 million from the fund before the deadline at the end of the year, signalling significant ongoing demand and potential pressure on FCT resources. The pattern of withdrawals highlights how firms are reallocating statutory employer liabilities towards upskilling and may have implications for labour policy and fund sustainability.

Real-time analytical coverage of financial markets and economic developments on 6 January, including market moves, key data releases and macro indicators. Commentary focuses on consumer confidence and cost pressures, investor sentiment and flows, implications for investors and expat households, and the significance of today’s indicators for policy and markets.

EContas outlines the key tax and reporting obligations due in January so businesses and households stay compliant with the Tax and Customs Authority (AT) and Social Security (SS). Important January items include the Day 9 electronic communications for IRS (personal income tax), IRC (corporation tax) and VAT, SAF‑T invoicing requirements, VAT returns and payments, and related Social Security filings — all with strict deadlines and penalties for late or incorrect submissions. Use the EContas checklist to prioritise filings, confirm filing channels (electronic transmission), and avoid sanctions.

A wave of policy and market changes due to take effect in 2026 will raise the cost of housing for Portuguese households and alter incentives across the sector. Measures affecting rents, mortgage lending rules and tax treatment of construction and property are set to impact owners, tenants and prospective buyers, with knock-on effects for affordability, market dynamics and the state budget. The package will reframe public incentives and regulatory risk for investors and households alike, requiring households and professionals to reassess financing, renting and development decisions.

A family providing foster care for two children has been ordered by Social Security to repay more than €5,500 after losing their parental allowance. The parents call the demand an injustice and cite contradictory information and a lack of support from official services. The case highlights administrative confusion around parental-benefit eligibility, potential gaps in guidance for foster and expat families, and wider questions about transparency and appeals in welfare policy.
