The new rules of the value added tax code


The new rules of the value added tax code


The Value Added Tax Code (Código do Imposto Sobre o Valor Acrescentado - "CIVA"), approved by Law 32/2007 of 31 December, was recently amended by Law no. 13/2016 of 30 December, which republished the CIVA. The main changes made to the CIVA relate to the geographical scope of application of this tax, to the rules on localisation of operations, to exempt transfers of goods and provisions of services, and to the rules on invoicing.

These changes broaden the scope of incidence of the tax and establish strict rules for the purposes of compliance with tax declaration obligations. This will allow greater control by the tax authorities and streamline tax operations

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