Is zero VAT the (only) solution to mitigate rising food prices?
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.

Latest news and stories about vat in government in Portugal for expats and residents.
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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.

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.

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.

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.

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.
