1) The essentials in 30 seconds
Goods (IC acquisitions / AIC) below €10,000, not registered in VIES: as a rule, the supplier charges their local VAT; in PT you do not reverse-charge and you do not submit the Recapitulative Statement (DR) for that purchase.
(Exceptions with no threshold are listed in Section 5.)
RITI — VAT-exempt taxable person (derogation scheme)Goods (AIC) above €10,000 or voluntary option: supplier invoices without VAT; you reverse-charge Portuguese VAT and submit the Recapitulative Statement (DR) for the relevant period; you must register in VIES.
VAT — intra-Community acquisition by a VAT-exempt taxable personB2B services (general rule): the place of supply is where the customer is. If you are the customer in PT and the supplier is not established in PT, you reverse-charge Portuguese VAT (no threshold). If you provide B2B services to customers in another Member State, you do not charge PT VAT and, as a rule, you report in the Recapitulative Statement (DR).
CIVA Article 6 — place of supply
VAT — intra-Community transactions
2) Quick concepts
TI/ENI under Article 53: you don’t charge VAT on sales and you have no right to deduct input VAT; however, you are still a taxable person for certain operations (e.g., reverse charge).
AIC (goods): purchase of goods from another EU Member State with transport to Portugal.
VIES: registration/validation system for intra-EU operations (VAT number validation).
General services rule: B2B → place of the customer; B2C → place of the supplier (unless exceptions apply).
VAT — intra-Community transactions
VAT — place of supply of services
3) Goods — two practical scenarios
Scenario A — Below €10,000 and without VIES
Correct invoice: with the supplier’s local VAT.
In Portugal: you do not reverse-charge, and you do not submit DR due to this purchase.
If you received an invoice “without VAT”: warn the supplier that you are not in VIES and are below the threshold — the invoice should include the supplier country VAT.
RITI — VAT-exempt taxable person (derogation scheme)
Scenario B — Above €10,000 (or voluntary option) with VIES
Correct invoice: no VAT (intra-EU supply).
In Portugal: you reverse-charge VAT and submit the Recapitulative Statement (DR) for the period in which the VAT becomes chargeable; pay by the end of the following month. No deduction right (you remain under Article 53).
VAT — intra-Community acquisition by a VAT-exempt taxable person
When the obligation arises (goods): practical rule — 15th day of the month following the arrival of the goods in PT, or the invoice date, if earlier.
VAT — intra-Community acquisition by a VAT-exempt taxable person
4) Services — how it works for TI/ENI under Article 53
4.1 When you are the customer (you buy intra-EU services)
General B2B rule (CIVA Art. 6(6)(a)): place of supply is Portugal → you reverse-charge PT VAT (reverse charge), no threshold.
Examples: consulting, digital marketing, B2B software/SaaS, cloud hosting, etc.
CIVA Article 6 — place of supply
VAT — intra-Community transactions
If you don’t provide a VAT number (no VIES), the supplier may treat you as B2C and charge their local VAT; in that case you typically do not reverse-charge in PT (but it may be more expensive).
(You are still a taxable person legally; in practice, VIES is commonly used to evidence B2B status.)
VAT — intra-Community transactions
Reporting: when reverse charge applies, you submit DR and pay by the end of the following month; no right to deduct (Article 53).
CIVA Article 6 — place of supply
4.2 When you are the supplier (you sell services to a customer in another EU Member State)
General B2B rule: place of supply is in the customer’s Member State → you do not charge PT VAT, but you must report in the Recapitulative Statement (DR) the services covered by the general rule supplied to taxable persons in other Member States.
(Best practice: be registered in VIES.)
VAT — intra-Community transactionsB2C (private customers): general rule → place of supply is the supplier (PT), with Portuguese VAT, unless a specific exception applies (Section 5).
VAT — intra-Community transactions
Practical note: many EU suppliers require a valid VAT number in VIES to invoice without VAT (B2B). If you regularly deal with intra-EU services, activating VIES is usually worth it.
5) Key exceptions (derogations to the general services rule)
These rules move the place of supply away from the standard B2B/B2C rule. Plain explanations with examples:
Real-estate related services → where the property is located.
Example: works/brokerage/valuation of a property in Spain → taxed in Spain.
CIVA Article 6 — place of supplyAdmission/access to events (cultural, scientific, sports, education), fairs and exhibitions → where the event takes place.
Example: conference ticket in France → French VAT.
CIVA Article 6 — place of supplyRestaurant and catering → where the service is physically carried out.
Example: catering at a fair in Germany → German VAT.
CIVA Article 6 — place of supplyPassenger transport → proportionally to the route.
Example: Madrid–Porto route → split by jurisdictions along the route.
CIVA Article 6 — place of supplyHiring/leasing of means of transport
Short-term → where the vehicle is made available;
Long-term B2C → where the customer resides.
CIVA Article 6 — place of supply
Electronic services, telecoms and broadcasting to B2C → where the consumer resides (OSS).
Example: selling an app to a French consumer → French VAT via OSS.
Portal das FinançasGoods transport and ancillary services (loading/unloading, inspections, etc.) → specific rules depending on B2B/B2C, route and place of performance (there are reverse charge cases).
See: “VAT place-of-supply guide for TI & ENI”.
For most “classic” B2B services (consulting, software licences, advertising, SaaS), the general rule applies: place of supply = customer → reverse charge in PT if you are the customer; no PT VAT + DR if you are the supplier to another Member State.
OCC
6) VIES — when and why
Goods (AIC): mandatory once you exceed €10,000 (or if you opt in). Submit the change by the end of the following month.
VAT — intra-Community acquisition by a VAT-exempt taxable personServices: no threshold; VIES is useful because it helps you:
be recognized as B2B by intra-EU suppliers (so they invoice without their VAT);
provide B2B services to other Member States and submit DR.
VAT — intra-Community transactions
How to activate: submit a Declaration of Changes (Declaração de Alterações) in Portal das Finanças and ensure your VAT number appears as valid in the public VIES check.
VAT — intra-Community acquisition by a VAT-exempt taxable person
7) How to reverse-charge and report (operational summary)
7.1 Goods (AIC)
Chargeability: practical rule — 15th of the month following entry into PT, or invoice date if earlier.
Periodic VAT Return (DP / Modelo 300): report the taxable base and the VAT assessed under reverse charge in the relevant fields; pay by the end of the following month; no deduction (Art. 53).
VAT — intra-Community acquisition by a VAT-exempt taxable person
7.2 Services (when you are the customer and reverse charge applies)
Chargeability: on the date the service is supplied/invoiced as per the CIVA rules.
DP (Modelo 300): report the base and reverse-charged VAT; pay by the end of the following month; no deduction (Art. 53).
CIVA Article 6 — place of supply
7.3 Services (when you are the supplier B2B to another Member State)
No PT VAT (place is in customer’s Member State);
Submit DR for the general-rule B2B services supplied to taxable persons in other Member States.
VAT — intra-Community transactions
8) Quick examples
Ex. 1 — Buying SaaS from a German company (B2B)
VIES active → invoice without German VAT; you reverse-charge PT VAT in the DP for that period.
No VIES → they may charge German VAT (treated as B2C).
Ex. 2 — Consulting for a Spanish company (B2B)
You do not charge PT VAT; you report in DR for that month/quarter.
Ex. 3 — Buying online advertising (EU) under Article 53
Reverse charge in PT (general B2B rule) → DP + payment; no deduction.
Ex. 4 — Construction service on a property in France
Place of supply is France (real-estate rule) → follow French rules.
CIVA Article 6 — place of supply
9) Common mistakes to avoid
Receiving a VAT-free invoice for goods while below €10,000 and not registered in VIES.
Exceeding €10,000 in goods purchases and not activating VIES / not filing the activity change.
For B2B services: forgetting reverse charge and DP (there is no threshold).
Deducting VAT while under Article 53 (not allowed).
Ignoring exceptions (Section 5), leading to incorrect place-of-supply and wrong VAT treatment.