Portugal live VAT invoice reporting 2019

Tue 4th Sep 2018

Portugal is to take the first step towards live VAT invoice reporting from 1 January 2019.

From this date, all B2G (business to government bodies) supplies must be performed with an electronic invoice which will be submitted directly to the tax authorities. This will operate through the existing public finance portal, Fatura Eletrónica na Administração Pública (FE-AP). This allows for direct reporting from supplier ERPs, and automated validation of invoices to central, regional other public authorities. This is similar to the Italian SdI process.

Live invoice requirements will include details of:

  • Date of invoice
  • Supplier details and VAT identification
  • Government contractor details
  • Contract and delivery term details
  • Payment instructions
  • Details of goods or services supplied
  • Net, VAT and gross value of the invoice

B2G live reporting sets path to full real-time submissions

Requiring B2G real-time invoice reporting is a common first step – see Italy SdI – towards requiring all B2B transactions to be similarly reported at the time of issuance. In the longer term, it is likely to lead to the withdrawal of the periodic VAT return.

Governments are eager to adopt live invoice reporting to help reduce the incidence of VAT fraud, which is estimated to cost the EU €50 billion per annum.



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