How to Claim a Portugal VAT Refund When You Visit the Country

If you're a non-European Union (EU) resident shopping in Lisbon or other parts of Portugal, you may notice a VAT (Value Added Tax) added to your receipts. VAT is a consumption tax added to each item you buy, resulting in an extra cost to consumers.

In Portugal, Value-Added Tax (VAT) is known as Imposto sobre o valor acrescentado (IVA). The Portuguese VAT system has a standard VAT rate of 23%, two reduced rates of 13% and 6%, and a 0% rate. The good news is that as a non-EU resident, you can actually claim a VAT refund for your eligible purchases under specific circumstances.

In this guide, we'll explain the tax-free regime, and we'll walk you through the process of claiming a tax refund in Portugal, such as Lisbon Airport.

Who can claim a VAT refund?

Non-EU residents are eligible to claim a VAT refund on purchases made in Portugal. To qualify for a refund, you must meet certain criteria and follow the necessary instructions. European Union residents are not entitled to claim a VAT refund in Portugal.

To be eligible for a VAT refund in Portugal, your purchases must amount to at least €50 in a single transaction and have a customs stamp. This requirement ensures that the tax-free process is used for significant purchases. The goods you purchase must be taken out of the EU within three months of the purchase date.

Step-by-Step Guide to Claim Your VAT Refund

Here’s your step-by-step guide to claiming a tax refund in Portugal as a non-EU resident:

1. Check Eligibility

You must be resident outside the EU.
Goods must be for personal use only (not for resale).
You must export them within 3 months of purchase.
Purchases must be made at a tax-free registered store.

2. Meet the Minimum Spend: The minimum purchase is €61.35 (including VAT) from a single store on the same day.

3. Request a Tax-Free Form at Purchase

At the shop, show your passport to prove non-EU residency.
Ask for a Tax-Free Shopping Form (from Global Blue, Planet, or other operators).
Ensure your details, receipts, and amounts are correct.

4. Get Customs Validation Before Leaving the EU
If Portugal is your last EU stop, validate your Tax-Free form at e-Taxfree kiosks (at Lisbon, Porto, or Faro airports) or a customs desk at exit points. This can't be done at the security control.

You’ll need:

Passport or identity document
Boarding pass/travel ticket
Unused goods & receipts
Completed Tax-Free form
Customs stamp

5. Choose Your Refund Method: Immediate cash at the airport (often with a service fee), credit card refund (takes weeks to process), or bank transfer (fees may apply).

Portugal VAT Refund Rules and Deadlines

In Portugal, the rules and deadlines for a tax refund vary depending on whether you are a tourist, an EU-based business, or a non-EU business.

For tourists, a tax refund applies only to non-EU residents who purchase goods for personal use from tax-free registered shops. To qualify, the minimum spend is €61.35 in a single store on the same day. Goods must be exported within three months from the end of the month of purchase and must remain unused until they leave the EU. At the time of purchase, you must present your passport and obtain a tax-free form.

This form must be validated by Portuguese Customs or through an e-Taxfree kiosk before you exit the EU; the validation must occur on the day of your departure. Refund operators, such as Global Blue or Planet, typically require validated claims to be submitted within three to six months of the purchase. Missing these deadlines means you will forfeit the refund.

EU-based businesses are covered by the “8th Directive” rules. A company established in another EU member state can request a tax refund for VAT expenses incurred in Portugal, provided it is not VAT-registered in Portugal and the expenses are eligible under Portuguese VAT law.

Claims must be made through the tax authority portal in the company’s home country, which will forward them to Portugal. The deadline for submission is 30 September of the year following the year in which the expenses were incurred.

Non-EU businesses follow the “13th Directive” rules. Refunds are possible only if there is a reciprocity agreement between Portugal and the company’s home country. Applicants must appoint a Portuguese tax representative and provide original invoices for eligible expenses. The deadline for non-EU claims is earlier than for EU claims; applications must reach the Portuguese tax authorities by 30 June of the year following the year in which the expenses were incurred.

Which purchases are eligible for a tax refund?

For your purchase to be VAT exempt:

You must purchase items that you will take with you when leaving the country.
These items must be bought from participating retailers in the tax-free scheme.
It's important to note that certain purchases, such as hotel bills and restaurant meals, are not eligible for a VAT refund.
Additionally, there is a minimum purchase requirement for each receipt to be eligible for a return.
The total amount of the receipt, excluding VAT, must be €50 or more.

Look for signs indicating "VAT Refund" or "Tax-Free Shopping" in shop windows, or simply inquire with the retailer to ensure they participate in the VAT refund scheme.

If Portugal is your final destination within the EU, any purchase within EU countries that meets the above criteria is eligible for VAT compensation. However, if Portugal is just a stop on your journey within the EU, you should claim the VAT refund in the last country you visit before leaving the EU.

What is the VAT rate in Portugal?

There are three value-added tax (VAT) rates in Portugal:

Standard rate: 23 percent for most goods and services not covered by the reduced rates
Intermediate rate: 13 percent for certain goods and services such as restaurant services, some food products, and other specific items
Reduced rate: 6 percent for essential goods and services like basic foodstuffs, books, newspapers, medicines, and others

The VAT rates are lower in the autonomous regions of the Azores and Madeira.

Business VAT Refunds in Portugal

Business VAT refunds in Portugal are influenced by whether the claimant is based in the EU or outside of it. The process is governed by EU directives as well as Portuguese tax regulations.

If a business is established in another EU member state and incurs VAT expenses in Portugal, it can reclaim that VAT under the EU “8th Directive” (Directive 2008/9/EC). To be eligible, the business must not be registered for VAT in Portugal and the expenses must be incurred for business purposes, such as accommodation, transport, fuel, event fees, or specific services.

Refund claims must be submitted electronically through the tax authority portal in the business's home country, which will subsequently forward them to Portugal’s Autoridade Tributária. The deadline for submission is September 30 of the year following the year in which the VAT was paid. It’s essential to include supporting documentation, including invoices that comply with Portuguese VAT requirements. In some cases, the Portuguese authorities may request original invoices.

Eligible expenses for both EU and non-EU businesses generally include business-related goods and services. However, Portugal does exclude certain categories such as entertainment or non-business-related purchases. Additionally, the authorities may take several months to process refunds, so it is crucial to submit complete and accurate applications well ahead of the deadline.

When Purchasing an Item in Portugal

If your purchase meets the eligibility criteria for a VAT return, inform the sales assistant that you wish to benefit from the VAT refund scheme before you buy goods.

They will ask for your passport and provide you with a regular receipt along with a special tax-free form containing personal details and a registration code. It's essential to keep both the receipt and the tax-free form, as you will need them to claim the VAT refund at the airport

The process of claiming a VAT refund in Portugal is now electronic through the e-Taxfree Portugal System.

Tax-free shopping

When purchasing an item in Portugal, you can take advantage of tax-free shopping. Here's how the process works:

Inform the retailer that you want to benefit from the VAT refund scheme.
Provide your passport information.
Receive a regular receipt and a special tax-free validated form with a registration code.

Claiming a VAT Refund at the Airport

To claim your VAT return at the airport, follow these steps on the day of your EU departure:

Arrive at the airport early

Arrive at the customs desk at Lisbon airport well in advance, allowing at least 30 minutes for the VAT refund process. However, keep in mind that during peak times or if you're in line behind a tour group, the process might take longer.

Put the purchased item in your checked or hand luggage

Depending on whether you've put the purchased item in your checked luggage or your hand luggage, follow the corresponding steps:

Checked luggage

Inform the airport check-in staff that you have an item to declare for a VAT compensation. Then, proceed to an e-Taxfree Portugal kiosk with your passport or other identity document, boarding pass, the purchased items, and the validated form. Follow the instructions on the kiosk, and if approved, you'll see "Code Green." If not approved, "Code Red" means you need to go to the Customs desk.

Hand luggage

After passing through security control and customs, head to an e-Taxfree Portugal kiosk with your passport, boarding pass, the item, and the form. Follow the instructions on the kiosk, and if approved, you'll see "Code Green." If not approved, "Code Red" means you need to go to Customs.

After receiving the "Code Green" approval

Checked baggage: Return to check your luggage.
Hand luggage: Present the validated tax-free form at the respective operator's desk to receive an instant refund in cash or credit.

If you don't receive an instant refund, you can drop the validated tax-free form in the available drop boxes. The VAT refund payment will be issued to your credit card or sent to your home address in the form of a cheque. Please be aware that an administrative fee might be paid for this service.

Key Takeaways

As a non-EU resident shopping in Portugal, you can claim a VAT refund on eligible purchases. Remember to keep your receipts and tax-free forms, and follow the necessary steps at the airport to receive your return. As a digital nomad tax payer in Portugal, this can be hugely beneficial, too.

You might also find the following blog posts useful if you're considering a trip to Portugal:

Frequently Asked Questions about Portugal VAT Refunds

What is a tax-free form?

A tax-free form, or VAT refund form, is provided by participating retailers to non-EU residents making eligible purchases. It is essential for the VAT refund process and is given along with the regular receipt. The form includes key information such as the registration code, item details, and the amount of VAT paid.

How much is the VAT refund in Portugal?

The VAT refund amount in Portugal depends on the VAT rate applied to the eligible items purchased. There are different rates for taxes in Portugal when it comes to various goods and services. The standard VAT rate is 23 percent, and the reduced rates are 13 percent and 6 percent, applicable to specific items like bottles of wine, medicines, books, and optical lenses.

How to claim VAT in Portugal airport?

To claim a VAT refund from Portugal airport as a non-EU resident, follow these steps:

Verify eligibility for VAT refund and ensure purchased goods qualify.
Request a tax-free form and keep the regular receipt when buying.
Arrive at the airport with sufficient time on your departure day.
Visit the e-Taxfree Portugal kiosk with your passport, boarding pass, and tax-free form.
Follow kiosk instructions to receive a "Code Green" for approval.
If no instant refund is given, submit the validated form in a drop box; refunds will be issued to your credit card or as a cheque, minus fees.

What are the VAT rules in Portugal?

The VAT rules in Portugal are in line with the regulations set by the European Union. Portugal has three VAT rates:

Standard VAT rate: 23 percent - Applied to most goods and services.
Reduced VAT rate: 13 percent - Applied to specific items like bottles of wine.
Super-reduced VAT rate: 6 percent - Applied to items such as medicines, books, and optical lenses.

Non-EU residents are eligible to claim a VAT refund on eligible purchases they take with them when leaving the country, provided they meet the minimum purchase requirement and follow the necessary procedures for claiming the refund at the airport.

What is the VAT rate in Portugal for non-residents?

The VAT rate in Portugal for non-residents is the same as the standard VAT rate, which is 23 percent. This rate is applied to most goods and services. However, as a non-EU resident, you have the opportunity to claim a VAT refund on eligible purchases made during your stay in Portugal, reducing the effective VAT rate on those items.

Who is the reimbursement operator/refund operator?

The reimbursement operator manages the VAT refund process for non-EU residents in Portugal. Authorized operators help tourists claim their VAT refunds on qualifying purchases. Travelers can receive an instant refund at the airport if they present a validated tax-free form, or they can drop the form in submission boxes for processing. Refunds can be issued via credit card payment or cheque after deducting any applicable administrative fees.

Can you get a VAT refund after leaving Portugal?

Yes, you can get a Portugal tourist tax refund — but with important conditions. If you are a tourist using Portugal’s tax-free shopping system, you can still get your VAT refund after leaving the country, but only if you are still within the European Union and have not yet passed your final EU exit point. Once you have already left the EU, it becomes almost impossible to claim a Portuguese VAT refund if your form was not validated beforehand.

Portugal VAT Refund: Complete Guide for Tourists and Businesses 2025