During a parliamentary hearing today concerning the deliberation of the draft State Budget Law for 2026 (OE2026), Joaquim Miranda Sarmento justified the government’s proposed change as a measure of “tax simplification.”
“We believe this will improve the way taxes are paid, as it will help prevent forgetfulness and the necessity to pay fines,” stated Miranda Sarmento.
Currently, the Vehicle Circulation Tax (IUC) is paid in the vehicle’s registration month.
The shift to a fixed date is one of the 30 measures in the “tax simplification agenda” presented by Prime Minister Luís Montenegro’s first government in January 2025.
At that time, Joaquim Miranda Sarmento had already justified the alteration by noting that “many people” forget “which month they bought their car,” resulting in late payments and fines.
In Parliament today, he reminded that the government will propose to the Assembly of the Republic that “payment be made in February” if the amount does not exceed 100 euros, or that the amount be “spread between February and October” if the total due to the State is higher.
“The assembly will decide whether or not to make this change,” he mentioned, referring to the fact that taxation rules, such as these, are a prerogative of the deputies.
If you own a car and are used to paying the Vehicle Circulation Tax in the car’s anniversary month, be aware that starting in 2026, the payment schedule for this tax will change.
Beatriz Vasconcelos | 07:59 – 07/11/2025
Responding to questions from Chega’s members, Joaquim Miranda Sarmento dismissed the existence of any measure to increase the IUC for cars registered before 2007, explaining that the only intended change by the government is regarding the timing of the tax payment by car owners.
Miranda Sarmento reiterated that there is no proposal in the OE2026, nor in any other initiative, to increase the IUC.
