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Portugal VAT amnesty until end December 2013

  • VAT
  • 26 October 2013 | Richard Asquith

Portugal VAT amnesty until end December 2013

The Portuguese tax office has announced that outstanding VAT may be declared with reduced fines until 20 December 2013.

This latest amnesty was granted with the authorisation of the bail-out partners - the European Central Bank, European Commission and International Monetary Fund.

For any previously undeclared Portuguese VAT, there will be no late interest charge, or the normal extra return charges.  There will be reduced penalties thought.

Portugal suffers large VAT Gap

Portugal has one of the largest VAT Gaps, the difference between the VAT expected based on annual GDP, and the VAT actually recovered.  This is thought to be because of VAT fraud.  However, since there are many exemptions and much use of the reduced VAT rates, this may also account for much of the leakage.

The Portuguese VAT audit also applies to some other taxes.


VP Global Indirect Tax
Richard Asquith
VP Global Indirect Tax Richard Asquith
Richard Asquith is VP Global Indirect Tax at Avalara, helping businesses understand their compliance obligations as they grow globally. He is part of the European leadership team which this year won International Tax Review's Tax Technology Firm of the Year. Richard qualified as an accountant with KPMG in the UK, and went on to work in Hungary, Russia and France with EY.