- Portugal’s Ordinance No. 298/2026/1 introduces phased changes to VAT return and reporting requirements, effective from 1 July 2026 and 1 July 2027.
- The new forms add more detailed reporting and stronger controls, including VAT groups, reduced-rate adjustments, e-Taxfree transactions, deductible VAT, reverse-charge transactions, margin schemes, and selected output transactions.
- From 1 July 2026, taxpayers must report VAT group elections and certain reduced-rate VAT adjustments through new fields in the VAT return annexes.
- From 1 July 2027, additional reporting fields will apply, including e-Taxfree supplies and other more granular VAT disclosures.
- Businesses may need to update VAT processes, systems, transaction mapping, and internal controls to comply with the new requirements.
Source: globaltaxnews.ey.com
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
