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Tax break on electricity for more families in Portugal

The PS political party's proposal to extend the 6% reduced VAT rate on electricity to 3.4 million families in Portugal has been approved.

tax in Portugal

The PS project was discussed in parliament and, with its approval, the 6% VAT rate will be applied in 2025 “to the first 200 kWh of electrical energy consumed each month, doubling the current 100 kWh.” Additionally, “for large families, the rate will apply to 300 kWh per month, up from the current 150 kWh.”

As per the PS, the extension of the 6% VAT rate on electricity will encompass over three million families, a significant increase from the previous 300,000. The implementation of this measure is expected to incur an estimated cost of around 90 million euros.

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