Portuguese VAT registration

Portugal applies different value added tax (VAT) registration rules depending on whether the business is established locally or operating from abroad.

Resident businesses benefit from a phased VAT exemption threshold based on annual turnover that changes each year. Once this annual turnover threshold is exceeded, VAT registration becomes mandatory.

Non-EU (foreign) businesses have no registration threshold and must register for VAT as soon as they carry out any taxable activity in Portugal.

EU-based ecommerce businesses selling goods or services to Portuguese consumers must register if their total EU-wide sales exceed €10,000 annually, unless they opt for the One-Stop Shop (OSS) scheme to centralise reporting across EU countries.

Portugal requires non-residents to register if they are performing any of the following trading activities:

• Importing goods into Portugal from outside the EU

• Buying and selling goods within Portugal

• Selling goods over the internet to Portuguese consumers — subject to the EU-wide €10,000 OSS threshold for distance selling

• Holding goods in a consignment stock warehouse for sale to local customers

• Charging admission to events or exhibitions in Portugal

• If a company is otherwise a non-VAT trader but is receiving services in Portugal under the reverse charge rule

• The self-supply of goods

  
  

Foreign businesses importing or trading goods or services in Portugal may be required to register for VAT as a non-resident trader in Portugal. They would then also be obligated to follow local compliance, reporting, and payment processes.

Businesses must provide the following information to the Portuguese tax authorities when applying for VAT registration:

• Declaration of commencement of activity (usually within 15 days of incorporation or activity start)

• Certificate of incorporation or equivalent company registration document

• Articles of association

• Detailed description of intended activities in Portugal

• Proof of identity for company directors or legal representatives

• Appointment of a fiscal representative (mandatory for non-EU entities)

  
  

Supporting documentation must be in Portuguese or officially translated and may vary depending on the business structure and origin.

Resident companies and individuals must register through the Portuguese tax authority or the official government portal (ePortugal). Non-resident businesses can also register through local tax offices or via a fiscal representative.

Once submitted, applications typically take four to six weeks to be processed. The Portuguese tax authorities may request additional documentation during this period.

Once registration is approved, the business receives a Portuguese VAT number, which is identical to the company’s tax identification number (NIPC).

• Country code: PT

• Characters: 9 digits (e.g., PT123456789)

  
  

This number must appear on all tax invoices, VAT returns, and EC Sales Lists, and is required for intra-EU transactions. It is also validated through the EU’s VAT Information Exchange System (VIES).