Taxes

Portugal — Tax: VAT (IVA)

Value Added Tax (Imposto sobre o Valor Acrescentado - IVA) is charged at a standard rate of 23% in mainland Portugal. The autonomous regions of Madeira and the Azores maintain separate, lower regional VAT scales. VAT-registered businesses must comply with electronic invoicing and reporting obligations through the tax authority's e-fatura system.

Autoridade Tributária e Aduaneira · Last verified 2026-07-17

Key Facts

  • The standard VAT (IVA) rate in mainland Portugal is 23%.
  • The autonomous regions of Madeira and the Azores apply separate, lower regional VAT rates.
  • Businesses must register invoices electronically through the 'e-fatura' portal.
  • Reduced VAT rates apply to specific categories of goods and services (e.g. food, transport).

Related Topics

tax-residency
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