Expense rules in Portugal.
All Autoridade Tributária rules: IVA, ajudas de custo, mileage rate and VAT recovery in Portugal.
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1Expense rules & reclaimable VAT
| Category | VAT | Reclaim | Cap / Note |
|---|---|---|---|
| Business meals | 13% | 50% deductible | Representation expenses |
| Travel meals | 13% | 100% reclaimable | Ajudas de custo cap |
| Accommodation | 6% | 100% reclaimable | Reduced rate (mainland) |
| Fuel | 23% | 100% reclaimable | Business use |
| Train / CP / flight | 6% | 100% reclaimable | Public transport |
| Taxi | 6% | 100% reclaimable | Receipt required |
| Client gifts | 23% | Limited | €50 net/recipient cap |
| Parking / toll | 23% | 100% reclaimable | Itemized invoice |
National ajuda
Flat national daily allowance (Portaria 1553-D/2008).
Foreign ajuda
Daily foreign allowance.
Retention
Tax records: 10 years (Código do IVA).
2Mileage allowance
| Mode | Allowance | Cap | Note |
|---|---|---|---|
| Personal car | 0,40 €/km | Unlimited | Public sector standard |
| Motorcycle | 0,20 €/km | Unlimited | Reduced rate |
Car rate
Tax-free mileage allowance (Portaria 1553-D/2008).
Covers
Fuel + maintenance + depreciation.
Logbook
Date, location, km, purpose to retain.
3Per diem and travel allowances
| Destination | Meal | Lodging / night | Daily rate |
|---|---|---|---|
| Portugal — national | 50,20 € | — | 50,20 € |
| Lisbon / Porto | 50,20 € | 100 € | 150,20 € |
| Foreign — Paris | 100,24 € | 160 € | 260,24 € |
| Foreign — London | 100,24 € | 210 € | 310,24 € |
| Foreign — New York | 115 € | 290 € | 405 € |
Top management
Group A national ajuda.
Foreign
Foreign standard.
Reduction
If meal/lodging provided.
4Foreign VAT recovery
| Zone | Mechanism | Deadline | Method |
|---|---|---|---|
| European Union (27) | 8th Directive (2008/9/EC) | 30 Sept. N+1 | Portal das Finanças |
| France | Reciprocity | 30 Sept. N+1 | Via Portal das Finanças |
| United Kingdom | 13th Directive post-Brexit | 31 Dec. N+1 | HMRC VAT65A |
| Switzerland | Reciprocity | 30 June N+1 | FTA Form 1222 |
| USA | No recovery | — | Sales tax not recoverable |
| PT IVA for foreign cos | Form 30 — AT | 30 Sept. N+1 | Portal das Finanças — Form 30 |
EU minimum
Annual 8th Directive request.
PT minimum
Min VAT per request.
Typical ROI
% expenses recovered multi-country.
Industrialize your Portugal expenses with Illizeo.
IVA 23%/13%/6%, AT €0.40/km mileage, ajudas de custo Portaria 1553-D/2008, EU 8th Directive VAT recovery: all the AT rules above are natively integrated into Illizeo.
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