IVA

Published 5 November 2026, 22:39

Imposto sobre o Valor Acrescentado

VAT. On the mainland the rates are 23%, 13% and 6%; in Madeira 22%, 12% and 4%; in the Azores 16%, 9% and 4%. Small businesses may charge no IVA under article 53 of the code as long as the previous year's turnover did not exceed €15,000; the threshold remains the same for 2026.

Where you come across it. On every receipt and invoice; for the self-employed, when issuing recibos verdes and filing IVA returns.

An IVA representative (article 30 of the IVA code) and a tax representative for general matters are two different appointments; only someone who is themselves registered for IVA in Portugal can act as an IVA representative. A person living outside the EU and the EEA needs an IVA representative even if electronic notifications are switched on. The threshold is based on the previous year's turnover, but if you exceed it by more than a quarter (€18,750) during the current year, the normal regime applies immediately.

Official website: portaldasfinancas.gov.pt

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