{"id":18057,"date":"2025-10-27T15:25:24","date_gmt":"2025-10-27T15:25:24","guid":{"rendered":"https:\/\/belzuz.com\/?post_type=publicacion&p=18057"},"modified":"2025-10-27T15:25:24","modified_gmt":"2025-10-27T15:25:24","slug":"portuguese-parliament-approves-the-gradual-reduction-of-corporate-income-tax-and-the-new-vat-group-regime-for-companies","status":"publish","type":"publicacion","link":"https:\/\/belzuz.com\/pt\/publicacion\/portuguese-parliament-approves-the-gradual-reduction-of-corporate-income-tax-and-the-new-vat-group-regime-for-companies\/","title":{"rendered":"Portuguese Parliament approves the gradual reduction of corporate income tax and the new VAT group regime for companies"},"content":{"rendered":"

The general rate, currently at 20%, will fall to 19% next year, 18% in 2027 and 17% from 2028 onwards.<\/p>\n

In addition to the reduction in the general rate, a reduction in the rate applicable to the first tranche of profits of small and medium-sized enterprises (SMEs) and small and mid-cap companies was also approved, which will be 15% from 2026 (currently, the first \u20ac50,000 of taxable income of SMEs is taxed at 16%).<\/p>\n

The VAT group scheme<\/strong> was also approved, allowing companies belonging to the same economic group<\/strong>, i.e. linked by significant shareholdings or controlled by the same parent entity, to aggregate their operations for VAT purposes<\/strong>.<\/p>\n

Instead of each company declaring and paying VAT individually, the group will now be treated as a single tax entity by the Tax Authority.<\/p>\n

This regime offers several advantages, namely Consolidation of VAT payable or recoverable<\/strong>, allowing credits and debits to be offset between group companies.<\/p>\n