Latest news and stories about vat in government in Portugal for expats and residents.
PS secretary-general José Luís Carneiro has proposed a series of tax relief measures, including zero VAT on essential food and a reduction to 13% on fuel, to combat the rising cost of living and mitigate the economic impacts of ongoing global conflicts.
Chega plans to propose the reinstatement of zero VAT on essential goods, a measure they aim to limit until the end of the year. Additionally, the party is advocating for further government action to reduce fuel taxes.
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.
“There is nothing left to clarify.” This is how the president of the Recuperar Portugal mission structure ends the controversy surrounding the billing of the Test Beds. The tax authorities warned these consortia that grants must be subject to VAT. However, the change has caused confusion, acknowledged by the National Agency itself...
Companies in the Test Beds consortia have lacked defined rules for billing services and settling VAT for a year, which is delaying incentive payments and the execution level of this Recovery and Resilience Plan (PRR) programme, which ends in June. The uncertainties...
A man working in an appliance store told CMTV that consumers are taking precautions and buying before prices rise even further.
The document asks the Government to adopt 15 temporary measures to alleviate the cost of living following the effects of the war in the Middle East.
Portugal’s finance minister, Joaquim Miranda Sarmento, has dismissed the possibility of reducing IVA (VAT) on certain food products to help families through the current economic crisis, saying it would be The post Lowering IVA on essential foods? Still a ‘no’ from government appeared first on Portugal Resident.
Joaquim Miranda Sarmento, during a parliamentary hearing, also rejected claims that the State is gaining tax revenue from VAT following the rise in diesel and petrol prices.
The issue of tax relief was raised by Chega MP Eduardo Teixeira.
This Tuesday also marks the deadline for taxpayers to indicate on the Finance Portal which entity they wish to consign a portion of their IRS and the VAT they would receive from invoice requests.
Intermunicipal communities (CIM) are prevented from applying the reduced VAT rate to construction contracts associated with projects classified as being of national public interest. This is the understanding of the Tax and Customs Authority (AT), as stated in a recent binding ruling published on the Finance Portal, which reinforces a restrictive interpretation of the tax rules applicable to...
Analysis suggests that the zero VAT policy is ineffective, even when applied to essential food items.
Luís Montenegro was speaking at the end of the weekly Council of Ministers meeting.
Pedro Vaz (PS) says the Government should prevent price hikes. Hugo Patrício Oliveira (PSD) says the executive makes decisions in line 'with reality'. Meanwhile, Bernardo Pessanha (Chega) calls for a VAT exemption.
Secretary of State for Tax Affairs, Cláudia Reis Duarte, says that, because of this, it is “not a possibility”
The government official explained that the European legal framework “only allows for a reduced VAT rate on construction within the scope of social housing policies.”
The Secretary of State for Tax Affairs says that the reduction of VAT to 6% for housing construction is naturally conditioned by the EU legal framework.
The chairwoman of Sonae, which closed last year with record sales of over 11 billion euros, argued this Thursday for the adoption of measures similar to those implemented in 2022, at the start of the war in Ukraine, to cushion the impact of rising prices for consumers. “Zero VAT obviously...”
Economist Filipe Grilo considers that applying Zero VAT would be “ineffective” as a response to the impacts of the conflict in the Middle East. Conversely, he highlights the solidarity gas cylinder measure as positive. “It is more targeted, cheaper, and reaches the people who need it most.”
The 6% VAT rate on construction is set to expire in 2029. Pinto Luz states that the measure will be re-evaluated that year and admits the possibility of its extension. Regarding rent subsidies, he claims that the issues have been resolved.
Available evidence suggests that the most effective social protection policies in the food sector are those that increase food supply or directly support the most vulnerable groups.
Fuel prices are rising, putting pressure on the entire supply chain. Members of Parliament Rui Afonso (Chega), Miguel Costa Matos (PS) and Inês Sousa Real (PAN) advocate for the return of 0% VAT.
On 1 January 2026, VAT celebrated 40 years of application in Portugal. When I began studying taxation, sometime in 1993, VAT was the most fascinating to me (if taxes can be fascinating...) because of its novelty, simplicity and the technique of its application. I was also fortunate to have as a professor, ...
The only texts approved were two draft resolutions — non‑binding — from PSD and PAN.
Home Property Building Portugal at 6 (%) VAT rate – The Three King’s Gift? Building Portugal at 6 (%) VAT rate – The Three King’s Gift? Embracing the Christmas season’s spirit of giving, the Portuguese Government submitted, on 2nd December the, Proposal No.
Pro.Var and AHRESP are calling for “urgent support measures” for the restaurant sector. The package of proposals includes VAT measures and various incentives.
Home News Which products will have a VAT reduction? Which products will have a VAT reduction? With the entry into force of the State Budget for 2026 (OE2026), a reduced VAT will be applied, lowering to 6%, in some cases.
The reduction of VAT to 6% in construction and the decrease of income tax from 25% to 10% on rents are “positive measures that will make a huge difference” in the housing sector, believes the Aprop leader.
