Invoicing in Portugal
Under Article 29 of the Portuguese VAT Code, taxable persons are obliged to issue an invoice for all supplies of goods and services, including exports and intra-Community supplies, as well as any advance payments made to them.
This means that whenever there is change made to the taxable amount of a transaction or the corresponding tax, an invoice must be issued.
Full VAT invoice
Full VAT invoice
Article 36 of the Portuguese VAT Code lays out the requirements for the information that must be included in an invoice. This includes the following details:
- The names, trade names, or company names and registered office or domicile of the supplier of goods or service provider, and of the taxpayer, along with their respective tax identification numbers.
- Quality of goods or services supplied, with the information to determine the applicable VAT rate. If any packaging is to be returned, this must be indicated on the invoice.
- The net price, the applicable VAT rate, and the amount of VAT due.
- Justification for non-application of VAT, if applicable.
- The date on which goods were made available to the person acquiring them, services were rendered or payments on account made before the supply of goods or services, if this date is different from the date of issue.
- Reference to the reverse charge, if applicable. In the case of intermediaries issuing invoices in transactions subject to the triangular transaction simplification scheme, a legend should be provided such as “Triangulation”.
Additionally, invoices must be dated and sequentially numbered in accordance with Portuguese VAT regulations. These requirements are in place to ensure accurate record keeping and to facilitate VAT compliance and enforcement.
Selling in Portugal?
Simplified Invoice
According to Article 40 of Portuguese VAT Code, retailers can issue simplified invoices in specific situations. If they are supplying goods to non-taxable individuals and the total amount does not exceed € 1,000, or if they are making other types of supplies and the invoice is no more than € 100.
Electronic Invoicing (SAF-T)
Portuguese taxpayers are required to submit monthly electronic reports to the Tax Authority. These reports should include information on all invoices issued, as well as simplified invoices, debit notes, and credit notes. The format used for these reports are typically the OECD’s Standard Audit File-Tax (SAFT-PT). The reports must be submitted by the 5th day of the following month after the documents were issued.
Last Updated: 30/11/2023
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