The Portuguese Tax Authority (AT) has published a comprehensive Frequently Asked Questions (FAQ) document addressing the recent alterations to the Periodic VAT Return (Declaração Periódica do IVA), implemented for reporting periods starting 1 July 2026. These changes, stemming from Decree-Law n.º 35/2025 and subsequent ordinances, introduce new fields for digital platform operators, enhanced breakdowns of cross-border B2C services under the OSS/IOSS regimes, and revised coding for exempt operations with right to deduct. The FAQ aims to reduce filing errors and preemptive queries to the e-balcão service.
Key Takeaways
- New Fields for Platform Economy Compliance: The return now requires separate reporting of VAT due on deemed supplies by digital platforms facilitating B2C services and distance sales of goods, aligning with the EU VAT e-Commerce package. Platforms must report gross values per Member State of consumption.
- Refined Exemption Coding for Audit Trails: Taxpayers must now distinguish between exempt operations with credit right (e.g., exports, intra-Community supplies) and without credit right (e.g., financial services, healthcare) using dedicated subcodes, enabling AT’s automated cross-checks with recapitulative statements.
- Transitional Guidance for Legacy Systems: The FAQ confirms that ERP vendors have until 30 September 2026 to update their tax engines. During this window, manual corrections via the portal’s correction functionality are permitted without penalty, provided the original return was filed on time.
Disclaimer: This article is compiled and summarized by the AI based on publicly available information and is for general information purposes only. It does not constitute any form of formal tax advice, legal opinion, or basis for performance. Please consult a qualified professional tax advisor or legal counsel for tax advice.
Source: Read Original Announcement