🇵🇹 Portugal: VAT & Income Tax 2026
Reference figures for the 2026 tax year. Estimates for educational use — not official tax advice.
Portugal take-home pay calculator
€27,701 net / year · €2,308 / month
| Gross | €40,000 | 100% |
| IRS + solidarity surcharge | −€7,899 | 20% |
| Segurança Social | −€4,400 | 11% |
| Net take-home | €27,701 | 69% |
Computed from the 2026 IRS scale (12.5% to 48%, each bracket carrying the parcela a abater that makes it continuous), 11% Segurança Social, the dedução específica of 8.54 × IAS (€4,587.09) or the contributions actually paid if greater, the €12,880 mínimo de existência — which is why a minimum-wage salary pays no IRS at all — the €250 general-expenses credit and the solidarity surcharge above €80,000. The band in which the minimum-existence abatement runs out (€12,880 to about €15,300) follows the article's own taper rate but not its ceiling, which is arithmetically defective; this is the one deliberate departure from the text and it is documented in the engine. The município surcharge, IRS Jovem, meal allowance, dependants and the Azores and Madeira scales are not modelled. Full rates for Portugal →
Period figures assume €1/12 per month and a standard 40-hour, 5-day, 52-week year. Adjust hours & weeks →
VAT rates
Income tax bands
2026 mainland IRS: 12.5% to €8,342; 15.7% to €12,587; 21.2% to €17,838; 24.1% to €23,089; 31.1% to €29,397; 34.9% to €43,090; 43.1% to €46,566; 44.6% to €86,634; 48% above. Each bracket carries a parcela a abater, which is not a free parameter but exactly the amount that keeps the scale continuous at the boundary. Segurança Social is 11% of gross, and the dedução específica is the greater of 8.54 × IAS (€4,587.09 for 2026) or the contributions actually paid. The €12,880 mínimo de existência — fourteen times the minimum wage — wipes out the IRS bill altogether at the bottom, which is why a minimum-wage salary pays none. The solidarity surcharge adds 2.5% between €80,000 and €250,000 of taxable income and 5% on the excess above €250,000.
| Band (up to, EUR) | Marginal rate |
|---|---|
| 8,342 | 12.50% |
| 12,587 | 15.70% |
| 17,838 | 21.20% |
| 23,089 | 24.10% |
| 29,397 | 31.10% |
| 43,090 | 34.90% |
| 46,566 | 43.10% |
| 86,634 | 44.60% |
| above | 48% |
Personal allowance / tax-free amount: none (0%).
Estimate your take-home
Use the Portugal net salary calculator for a full annual / monthly / weekly / hourly breakdown, the salary converter to change hours and weeks, or compare two countries side by side.
Frequently asked questions
How much income tax do you pay in Portugal?
Portugal applies marginal income-tax rates from 12.5% up to 48%. Employee social contributions are deducted on top of income tax — see the take-home calculator above for the combined effect.
What is the VAT rate in Portugal?
The standard VAT rate in Portugal is 23%, with a reduced rate of 13% for certain goods and services. Use the EU VAT calculator to add or remove VAT at Portugal rates.
How accurate are these Portugal tax figures?
Computed from the 2026 IRS scale (12.5% to 48%, each bracket carrying the parcela a abater that makes it continuous), 11% Segurança Social, the dedução específica of 8.54 × IAS (€4,587.09) or the contributions actually paid if greater, the €12,880 mínimo de existência — which is why a minimum-wage salary pays no IRS at all — the €250 general-expenses credit and the solidarity surcharge above €80,000. The band in which the minimum-existence abatement runs out (€12,880 to about €15,300) follows the article's own taper rate but not its ceiling, which is arithmetically defective; this is the one deliberate departure from the text and it is documented in the engine. The município surcharge, IRS Jovem, meal allowance, dependants and the Azores and Madeira scales are not modelled.
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