An essential document verifying your VAT status can now be requested through the Finance Portal, as announced by the Tax Authority on social media.
“Need to prove your VAT status? Request a VAT Status Certificate on the Finance Portal”, reads a post shared on Facebook.
This document, described by the Tax Authority, indicates whether you are subject to VAT, specifies the VAT regime, and provides the commencement date of activity and status.
The Tax Authority highlights that this certificate is essential when:
- You need to provide proof of VAT status;
- You provide services to public entities;
- Your clients request confirmation of the VAT regime.
According to the Finance Authority, this “certificate is free, valid for six months, and can be used digitally“.
It can be obtained online through the Finance Portal by following this link – after logging in with your credentials.
What is VAT?
According to the public services portal gov.pt, Value Added Tax (VAT) is “a tax applied to sales or services provided in Portugal”.
“VAT is paid by the consumer at the point of purchase. The seller or service provider collects the VAT and, subsequently, pays it to the Tax and Customs Authority (AT)“, as detailed on the same site.
Exemption for Low Business Volumes
The portal outlines that “businesses or freelancers with a turnover below the following amounts are exempt from VAT payment:
- 10,000 euros, if activity started by March 31, 2020
- 11,000 euros, if activity started from April 1, 2020
- 12,500 euros, if starting activity from 2021.
“Meeting the requirements for inclusion in the special regime for small retailers means turnover cannot exceed 12,500 euros, regardless of the start date of activity,” it states.
Additionally, “Besides the turnover limit, companies or independent workers must adhere to these requirements: not having or being obliged to have organized accounting for IRS purposes, not importing or exporting products, not trading or offering services in the waste, scrap, and recyclables sector”.
In Portugal, there are three VAT rates:
- Reduced rate, 6% on mainland Portugal, 4% in the Autonomous Region of the Azores, and 5% in the Autonomous Region of Madeira for goods and services listed in List I of the Value Added Tax Code;
- Intermediate rate, 13% on mainland Portugal, 9% in the Autonomous Region of the Azores, and 12% in the Autonomous Region of Madeira for goods and services listed in List II of the Value Added Tax Code;
- Standard rate, 23% on mainland Portugal, 16% in the Autonomous Region of the Azores, and 22% in the Autonomous Region of Madeira for all other goods and services.
According to the OCC, the “regime of ‘fiscal and contribution holidays’ includes a set of rules for deferring and suspending deadlines for fulfilling fiscal and contributory obligations and tax procedures”.
Notícias ao Minuto | 11:13 – 11/08/2025
