The payment schedule for the Imposto Único de Circulação (IUC), a tax for vehicle owners, is set to change by 2026. Vehicle owners accustomed to paying this tax during their vehicle’s registration month will now make their payments each February.
This adjustment means that those who paid the IUC in October, November, or December will have to pay again in February 2026, leading to two payments within a short period, albeit for different years.
Payment in Installments
For amounts exceeding 100 euros, owners can settle the payment in two installments: one in February and another in October, similar to the IMI tax. “By 2026, the IUC must be paid by the end of February if the amount is up to 100 euros. Payments over this amount can be divided into February and October installments,” explained DECO PROteste.
Until the end of 2025, the rule remains that after the first year of registration, the IUC must be paid annually by the last day of the vehicle’s registration anniversary month. “For example, if a car is registered in January 2007, the IUC must be paid by the end of January each year. From 2026, it will be due by the end of February for vehicles with taxes up to 100 euros. Those exceeding this amount can pay in February and October installments,” clarifies the consumer protection organization.
The IUC, commonly known as ‘vehicle tax,’ will no longer need to be paid during the vehicle’s registration month, instead adopting a unified date for all owners. Details on this change are explored here.
What is IUC?
The IUC is an “annual mandatory tax for all individuals with registered motor vehicles in their name, if applicable.” DECO PROteste describes vehicles such as combustion-powered cars and motorcycles registered since 1992 and most motorized recreational boats. Certain factors can lead to exemptions.
The tax must be paid within 30 days after the legal registration deadline in the first year of registration. This applies to new cars, second-hand purchases, and imported vehicles. When buying a new car from a dealership, the IUC is paid at the point of purchase.
