Free Portugal VAT Calculator — Add or Remove IVA
Published: 11 November 2026 · Updated: 11 November 2026
Add or remove Portuguese IVA in one click: a €1,000 net price at the 23% standard rate becomes €1,230 gross — the VAT inside is €230. Pick your region and rate below.
Portugal has three IVA rates — and the islands have three more. Mainland Portugal charges 23% standard, 13% intermediate and 6% reduced; Madeira and the Azores charge lower rates. The most common mistake is applying 23% to everything: restaurant food is 13%, basic foods and hotel stays are 6%.
Researched by MixKhazana Team · Last updated 11 November 2026 · Data: Portuguese VAT Code (Código do IVA), Autoridade Tributária e Aduaneira; PwC Portugal 2026 Tax Guide
How to use
- Enter the amount in euros.
- Pick Add VAT if your amount is net, or Remove VAT if it already includes IVA.
- Choose your region — mainland, Madeira or the Azores — and the rate that applies.
- Click the button for the VAT amount, the net price and the gross price.
How it works
IVA (Imposto sobre o Valor Acrescentado) is Portugal's value added tax, charged on most goods and services and administered by the Autoridade Tributária e Aduaneira (AT). The formula is simple in both directions. To add VAT: gross price = net price × (1 + rate), so €1,000 × 1.23 = €1,230. To remove VAT: net price = gross price ÷ (1 + rate), so €1,230 ÷ 1.23 = €1,000. The VAT itself is always the difference between the two — never 23% of the gross price, which is the classic error (23% of €1,230 would be €282.90, overstating the tax by €52.90).
Which rate applies depends on what is being sold. The 23% standard rate covers most goods and services: electronics, clothing, vehicles, professional services. The 13% intermediate rate covers restaurant and catering food, ordinary wine, canned fish and some farm inputs. The 6% reduced rate covers essentials: basic foods, books and newspapers, medicines, passenger transport, hotel stays and cultural events. From January 2026 the 6% rate was also extended to olive-oil processing, art gallery sales and game meat under the 2026 State Budget. If you run a business in Portugal, compare with our Portugal salary after tax calculator — and Spain's VAT calculator if you also sell across the border.
Worked example
Sofia runs a small online shop in Lisbon and sells a lamp for €1,000 before tax in 2026:
- Rate: 23% standard (mainland Portugal, general goods)
- VAT: €1,000 × 23% = €230
- Gross price to charge the customer: €1,000 + €230 = €1,230
- Removing VAT from €1,230: €1,230 ÷ 1.23 = €1,000 net, VAT €230
- At the 6% rate (for example a hotel night): €1,000 × 1.06 = €1,060, VAT €60
The same lamp sold from Madeira would be €1,220 at the 22% rate — and from the Azores €1,160 at 16%. The region selector above switches the rates for you.
2026 IVA rates by region
| Region | Standard | Intermediate | Reduced |
|---|---|---|---|
| Mainland Portugal | 23% | 13% | 6% |
| Madeira | 22% | 12% | 4% |
| Azores | 16% | 9% | 4% |
Frequently asked questions
What is IVA in Portugal?
IVA (Imposto sobre o Valor Acrescentado) is Portugal's value added tax, charged on most goods and services. The standard rate is 23% on mainland Portugal, with an intermediate rate of 13% and a reduced rate of 6% for specific goods and services listed in the Portuguese VAT Code.
What are Portugal's VAT rates in 2026?
On mainland Portugal the rates are 23% standard, 13% intermediate and 6% reduced. Madeira charges 22%, 12% and 4%, and the Azores charge 16%, 9% and 4%. The mainland rates were unchanged for 2026, confirmed by PwC's 2026 Tax Guide for Portugal.
How do I add 23% VAT to a price in Portugal?
Multiply the net price by 1.23. For example, a €1,000 net price becomes €1,230 gross, and the VAT is €230. Use the calculator above and pick 'Add VAT' with the 23% rate.
How do I remove VAT from a Portuguese price?
Divide the gross price by 1 plus the rate. At 23%, a €1,230 gross price is €1,230 ÷ 1.23 = €1,000 net, so the VAT inside the price is €230. Pick 'Remove VAT' in the calculator above.
Which VAT rate applies to restaurants in Portugal?
Restaurant and catering food services generally use the 13% intermediate rate, while alcoholic drinks served with the meal are charged at 23%. Basic foodstuffs such as bread, milk and fresh fruit use the 6% reduced rate, and hotel stays also use 6%.
Do Madeira and the Azores have different VAT rates?
Yes. Madeira charges 22% standard, 12% intermediate and 4% reduced; the Azores charge 16% standard, 9% intermediate and 4% reduced. Pick your region in the calculator above and the rates switch automatically.
What official sources are the Portugal VAT rates based on?
The rates come from the Portuguese VAT Code (Código do IVA) as administered by the Autoridade Tributária e Aduaneira (AT), and are confirmed in PwC Portugal's 2026 Tax Guide: mainland 23% / 13% / 6%, Madeira 22% / 12% / 4%, Azores 16% / 9% / 4%.