EU VAT registration - VAT in Portugal

General Information:

As part of Portugal’s accession to the European Union, value added tax was introduced in 1986. It is called Imposto sobre o valor acrescentado (IVA). There was a transition period and the full system entered into force in 1989. As with all other Member States, Portugal is committed to complying with EU rules on VAT registration, compliance, returns, Intrastat and EC sales lists. Portuguese VAT legislation is included in the VAT Code. It is supervised by the VAT Service Department, part of the Directorate General for Taxation in the Ministry of Finance. Foreign companies importing or trading goods or services in Portugal may be required to register as a trader who is not resident in Portugal. It would then also be required to follow local compliance, reporting and payment processes.

VAT registration in Portugal for companies:

Foreign companies can register for VAT in Portugal without having to set up a local company, i.e. you can register as a non-resident. In Portugal, there is no VAT threshold for the registration of foreign entrepreneurs. However, the application for a VAT number must be submitted to the appropriate department. This also applies to situations where foreign companies make intra-Community supplies of goods. If you know that you need to register VAT in Portugal, do not hesitate and contact us and we will help you.

When is VAT registration in Portugal required?

⇒ imported goods sent to the European Union via Portugal;

⇒ purchase and sale of products in Portugal;

⇒ warehousing goods in Portugal;

⇒ sale of goods from Portugal to other EU countries;

⇒ sending goods between and to another EU member state (intra-Community supplies)

⇒ organization of live events (conferences related to art or education) in Portugal;

⇒ own delivery of goods.