Indirect tax ebook - Portugal

Sales Tax Rates

Standard rate of 23% (22% in the Autonomous Region of Madeira and 16% in the Autonomous Region of Azores) – all goods and services rated unless specifically defined
Intermediate rate of 13% (12% in the Autonomous Region of Madeira and 9% in the Autonomous Region of Azores) – applies to a specific list which includes for example preserved produce of fish and meat, bottled water, table wine, tickets to specific shows (singing, dancing, music, theatre, cinema, etc.)
Reduced rate of 6% (5% in the Autonomous Region of Madeira and 4% in the Autonomous Region of Azores) – applies to agriculture or farm produce, newspapers and magazines, medication, products for agricultural use, passenger transport, hotel accommodation and certain entertainment forms, public works contracts, etc.
Exempt supplies – an extensive list including the following broad categories: insurance and financial activities, renting and sale of real estate, medical and veterinary services, education, health and welfare, etc.
Option to waive tax exemption in certain categories: renting and sale of real estate, education, health and welfare. Some conditions needs to be met for some categories.

Information about Portugal:

This information has been provided by Grant Thornton Portugal, a member firm within Grant Thornton International Ltd and is for informational purposes only. Neither Grant Thornton Portugal nor Grant Thornton International Ltd can guarantee the accuracy, timeliness or completeness of the data contained herein. As such, you should not act on the information without first seeking professional tax advice.
Disclaimer

Contact us

For further information on indirect taxes in Portugal please contact Joaquim Luís Mendes

Select a Country

Grant Thornton International is a non-practicing, international umbrella entity organised as a private company limited by guarantee incorporated in England and Wales. References to "Grant Thornton" are to the brand under which the Grant Thornton member firms operate and refer to one or more member firms, as the context requires. Grant Thornton International and the member firms are not a worldwide partnership. Services are delivered independently by the member firms, which are not responsible for the services or activities of one another. Grant Thornton International does not provide services to clients.