Knowledge Base: E-commerce Accounting and VAT Compliance

Increase of Intrastat thresholds in Portugal for the year 2024

Increase of Intrastat thresholds in Portugal for the year 2024

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Date21 May 2024
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Portugal, as a dynamic member of the European Union, continuously adapts to changing trade conditions. In 2024, the National Statistics Institute (INE) introduced significant changes to the Intrastat thresholds aimed at facilitating compliance for businesses and adjusting to new market realities. These changes aim not only to simplify reporting procedures for firms but also to enhance the accuracy and efficiency of collecting statistical data concerning intra-EU trade.


Authorities responsible for Intrastat reporting

In Portugal, the “Instituto Nacional de Estatística” (INE), or National Statistics Institute, is responsible for Intrastat reporting. The INE operates two main data collection centers that gather and process information on intra-EU trade. One center serves companies based in mainland Portugal and the autonomous region of the Azores, while the other is dedicated to companies based in the autonomous region of Madeira. These specialized centers support businesses in their reporting obligations, enabling effective and precise collection of statistical data crucial for monitoring and analyzing trade flows within the EU. With this structure, the INE can better address the specific needs of different regions of Portugal, ensuring high quality and accuracy in the collected data.


Intrastat thresholds in Portugal 2024

In 2024, the INE decided to increase the Intrastat thresholds, considering the changing trade and administrative needs of businesses. As of January 2024, the following thresholds apply:

  1. Imports
  2. Basic threshold: €600,000 (€25,000 in the Autonomous Region of Madeira)
    Detailed threshold: €6,500,000

  3. Exports
  4. Basic threshold: €600,000 (€25,000 in the Autonomous Region of Madeira)
    Detailed threshold: €6,500,000


Declaration periods and deadlines

Intrastat declarations must be submitted monthly and must be filed by the 15th day of the month following the reporting period. It’s worth noting that if the declaration deadline falls on a weekend or bank holiday, the deadline is not extended to the next working day. Therefore, companies must plan ahead to meet these dates to avoid delays and potential penalties for late submission of documents.


Methods of declaration submission

Companies have the option to submit Intrastat declarations in paper or electronic form. Paper declarations can be sent by mail to the INE, and copies of these declarations should be retained for at least two years. Keeping copies is essential for potential audits and verification of compliance with legal requirements. While mailing paper declarations is a traditional method, it may be less convenient and more time-consuming compared to modern electronic solutions.

Alternatively, companies can use the WebInq online platform provided by the INE to electronically submit their declarations. Using the WebInq platform requires obtaining a user ID and password.


Corrective declarations and zero declarations

If corrections need to be made to a submitted declaration, companies must file a corrective declaration. Users of the WebInq platform can make corrections online, significantly facilitating the error correction process. The system allows for quick and efficient changes, minimizing the risk of further discrepancies and enabling immediate data updates.

Even if no intra-community transactions occurred in a given month, companies still must submit a zero declaration to meet reporting requirements. A zero declaration serves as formal confirmation of no trading activity during the specified period, necessary for maintaining the completeness and continuity of statistical data.


Penalties for non-compliance

Failure to comply with Intrastat obligations may result in a financial penalty ranging from €500 to €50,000. Penalties are typically imposed only in cases of refusal to cooperate by companies. This means that companies that make mistakes but demonstrate willingness to correct and supplement missing information can usually avoid severe financial sanctions.


VAT rates in Portugal

Portugal applies three VAT rates: 23% – standard VAT rate, 13% – first reduced VAT rate, and 6% – second reduced VAT rate. Reduced rates apply to selected food items, pharmaceutical products, medical services, and others. It’s worth noting that the autonomous regions of Portugal, Madeira and Azores, have their own VAT rates. In Madeira, the standard VAT rate is 22%, and in Azores, it’s 16%. Both regions also have their reduced rates tailored to local needs and economic conditions.


Summary

The increase of Intrastat thresholds for the year 2024 in Portugal aims to facilitate businesses in adapting to trade conditions and reduce administrative burdens. Enterprises must be aware of the new thresholds and adjust their Intrastat data reporting procedures according to the new requirements, taking into account differences between regions of the country.

Iga Turniak

Junior Process Management & QM Specialist at getsix®, Marketing Assistant at getsix® and amavat®. With the company since March 2022. Interested in SEO, content marketing, and the e-commerce industry.

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