This guide covers only the taxation of digital services. If you sell goods, this guide does not apply.
The effective date is 1 July 2003 for B2C supplies of e-services to consumers in Portugal from suppliers established in a non-EU country and 1 January 2015 for B2C supplies of e-services to consumers in Portugal from suppliers established in another EU member state.
VAT Standard rate
The standard VAT rate in Portugal in 2022 is 23%.
VAT Reduced rate
The vat reduction rate in Portugal is 6% (e-books) .
From the 1st of July 2021, the distance selling thresholds were withdrawn and replaced by a unified threshold of EUR10,000 for all EU members.
In other words, VAT should be charged at the VAT rate of the customer’s country of residence by companies whose annual taxable cross-border turnover is over EUR 10,000.