Background information

The Law 84/2021 of 6 December extends until 31 December 2026 the validity of article 70 of the Tax Benefits Statute (Estatuto dos Benefícios Fiscais - EBF), created by the Decree-Law 215/89 of 1 de July, in an extraordinary context of rising fuel prices, as a consequence of the COVID-19 pandemic and more recently the war in Ukraine.

Content of measure

For the following categories of vehicles, 120% of the value of fuel acquired in Portuguese territory is deductible from taxable income:

• Vehicles assigned to public passenger transport and are registered to corporate income taxpayers (Imposto sobre o Rendimento das Pessoas Colectivas - IRC) that are licensed by the Institute for Mobility and Transport (Instituto da Mobilidade e dos Transportes – IMT, I. P.);
• Vehicles used in public road transport of goods or for third parties, with gross weight equal or superior to 3,5 t, registered to IRC taxpayers or rented without driver by them and which are licensed by IMT, I. P.;
• Vehicles used for taxi transport, registered to personal income taxpayers (Imposto sobre o Rendimento de Pessoas Singulares – IRS) or of IRC taxpayers, with organised accounts and which are duly licensed.

Use of measure

No information to date.

Target groups

Workers	Businesses	Citizens
Does not apply to workers	Applies to all businesses	Does not apply to citizens

Actors and funding

Actors	Funding
National government	National funds

Social partners

Social partners' role in designing the measure and form of involvement:

	Trade unions	Employers' organisations
Role	No involvement	No involvement
Form	Not applicable	Not applicable

Social partners' role in the implementation, monitoring and assessment phase:

• No involvement
• Main level of involvement: N/A

Involvement

No involvement of any social partner organisation in the design, implementation and monitoring of the measure.

Views and reactions

Unknown.

Sources

• 01 July 1989: Decree-Law 215/89 of 1 July (dre.pt)
• 06 December 2021: Law 84/2021, of 6 December (dre.pt)