--- title: "IRC Guide 2026: Rates, Tax Benefits and Regional Regimes in Portugal" description: "IRC 2026 Guide: 19% rate on Mainland, 13.3% in Madeira and Azores, 5% in Free Zone. RFAI, DLRR, SIFIDE tax benefits and complete fiscal calendar." lang: en json-ld: | [ { "@context": "https://schema.org", "@type": "Article", "headline": "IRC Guide 2026: Rates, Tax Benefits and Regional Regimes in Portugal", "description": "IRC 2026 Guide: 19% rate on Mainland, 13.3% in Madeira and Azores, 5% in Free Zone. RFAI, DLRR, SIFIDE tax benefits and complete fiscal calendar.", "url": "https://grupoyour.com/en/blog/irc-guide-2026-rates-tax-benefits-portugal", "datePublished": "2026-04-10T07:51:17.30247+00:00", "dateModified": "2026-05-28T20:45:41.607039+00:00", "author": { "@type": "Person", "name": "Pedro Flores", "sameAs": "https://www.linkedin.com/in/pedroflores/", "url": "https://www.linkedin.com/in/pedroflores/" }, "publisher": { "@type": "Organization", "name": "Grupo Your", "logo": { "@type": "ImageObject", "url": "https://grupoyour.com/favicon.png", "width": 512, "height": 512 }, "sameAs": [ "https://www.linkedin.com/company/grupoyour/", "https://www.facebook.com/OGrupoYour", "https://www.instagram.com/grupoyour/" ] }, "image": { "@type": "ImageObject", "url": "https://xmvtahclopqwmxwnbimy.supabase.co/storage/v1/object/public/blog-images/grupo-your-guia-irc-2026-taxas-beneficios-fiscais.jpg", "width": 1200, "height": 630 }, "mainEntityOfPage": { "@type": "WebPage", "@id": "https://grupoyour.com/en/blog/irc-guide-2026-rates-tax-benefits-portugal" }, "inLanguage": "en", "keywords": "guia, irc, impostos, fiscal, pme, madeira, açores, benefícios fiscais", "wordCount": 779 }, { "@context": "https://schema.org", "@type": "BreadcrumbList", "itemListElement": [ { "@type": "ListItem", "position": 1, "name": "Grupo Your", "item": "https://grupoyour.com" }, { "@type": "ListItem", "position": 2, "name": "Blog", "item": "https://grupoyour.com/en/blog" }, { "@type": "ListItem", "position": 3, "name": "IRC Guide 2026: Rates, Tax Benefits and Regional Regimes in Portugal", "item": "https://grupoyour.com/en/blog/irc-guide-2026-rates-tax-benefits-portugal" } ] }, { "@context": "https://schema.org", "@type": "BreadcrumbList", "itemListElement": [ { "@type": "ListItem", "position": 1, "name": "Home", "item": "https://grupoyour.com/en" }, { "@type": "ListItem", "position": 2, "name": "Blog", "item": "https://grupoyour.com/en/blog" }, { "@type": "ListItem", "position": 3, "name": "IRC Guide 2026: Rates, Tax Benefits and Regional Regimes in Portugal" } ] } ] --- [Saltar para o conteúdo](#main-content) [![Grupo Your - Abertura de Empresa em Portugal](/assets/logo-2wXESdnX.png)](/en) Grupo YourServicesTools[Contacts](/en/contacts) 8 EN Personalized Proposal 1. 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IRC Guide 2026: Rates, Tax Benefits and Regional Regimes in Portugal [Back to blog](/en/blog) [guia](/en/blog?tag=guia)[irc](/en/blog?tag=irc)[impostos](/en/blog?tag=impostos)[fiscal](/en/blog?tag=fiscal)[pme](/en/blog?tag=pme)[madeira](/en/blog?tag=madeira)[açores](/en/blog?tag=a%C3%A7ores)[benefícios fiscais](/en/blog?tag=benef%C3%ADcios%20fiscais) # IRC Guide 2026: Rates, Tax Benefits and Regional Regimes in Portugal ![Pedro Flores](/images/authors/pedro-flores.png) [Pedro Flores](/en/blog/author/pedro-flores)[](https://www.linkedin.com/in/pedroflores/) 10 April 2026· 4 min read Share ![IRC Guide 2026: Rates, Tax Benefits and Regional Regimes in Portugal por Pedro Flores - Grupo Your Contabilidade](https://xmvtahclopqwmxwnbimy.supabase.co/storage/v1/object/public/blog-images/grupo-your-guia-irc-2026-taxas-beneficios-fiscais.jpg "IRC Guide 2026: Rates, Tax Benefits and Regional Regimes in Portugal por Pedro Flores - Grupo Your Contabilidade") ## In this article - [Mainland Portugal](#mainland-portugal) - [General IRC Rate](#general-irc-rate) - [Reduced Rate for SMEs and Small Mid Caps](#reduced-rate-for-smes-and-small-mid-caps) - [Autonomous Region of Madeira (RAM)](#autonomous-region-of-madeira-ram) - [Madeira Free Zone (CINM)](#madeira-free-zone-cinm) - [Autonomous Region of the Azores (RAA)](#autonomous-region-of-the-azores-raa) - [Autonomous Taxation](#autonomous-taxation) - [Key Tax Benefits in IRC (2026)](#key-tax-benefits-in-irc-2026) - [IRC Fiscal Calendar 2026](#irc-fiscal-calendar-2026) - [Global Comparison Table (IRC 2026)](#global-comparison-table-irc-2026) - [Frequently Asked Questions about IRC 2026](#frequently-asked-questions-about-irc-2026) At **YOUR Group**, we know that tax obligations are one of the biggest concerns for Portuguese managers and entrepreneurs. That is why we have prepared this practical guide on **Corporate Income Tax (IRC)** in Portugal for the **2026** fiscal year, so your company can make the best decisions with clear and up-to-date information. One of the most frequent questions our clients ask is: _"Does the IRC rate change depending on the district where my company is based?"_ The answer is: **on the Mainland, no, the base rate is national**. But there are very significant differences between Portugal's three major territories: Mainland Portugal Madeira Azores **General Rate 2026** **19%** **13.3%** **~13.3%** SME Rate (first 50k EUR) 15% 10.5% \- Micro/SME special rate 12.5% (interior) 10.5% 8.75% Free Zone / Special benefit \- 5% (CINM) \- _Source: [State Budget](/en/state-budget "State Budget") 2026 (Law No. 73-A/2025, December 30); RAM Budget 2026; RAA Budget 2026._ **What does this mean for your company?** The location of the tax residence (or effective management) determines the IRC rate your company pays. If you have doubts about the most advantageous regime for your situation, the YOUR Group team is available to advise you. ## Mainland Portugal ### General IRC Rate For the **2026** fiscal year, the general IRC rate applicable to resident entities engaged in commercial, industrial or agricultural activities, and to non-residents with a permanent establishment in Portugal, is **19%**. This 1 percentage point decrease from 2025 (20%) is part of the trajectory set by the Government. ### Reduced Rate for SMEs and Small Mid Caps **Small and Medium Enterprises (SMEs)** and **Small Mid Cap** companies benefit from a reduced rate of **15%** on the first **EUR 50,000** of taxable income. The excess is taxed at the general rate of 19%. ## Autonomous Region of Madeira (RAM) Madeira has **fiscal autonomy** and applies IRC rates significantly lower than those on the Mainland. The general rate is **13.3%**, with reduced rates of **10.5%** for SMEs and **8.75%** for micro enterprises. ### Madeira Free Zone (CINM) The Madeira International Business Centre (**CINM**) offers one of the most attractive tax regimes in the European Union with a **5% IRC rate** for licensed companies until 31/12/2033. ## Autonomous Region of the Azores (RAA) The Azores apply a **30% reduction** compared to national IRC rates. The general rate is **13.3%** and micro/SMEs benefit from a special rate of **8.75%**. ## Autonomous Taxation Type of Expense Normal Rate With Losses Undocumented expenses 50% 60% Travel allowances and mileage (not invoiced) 5% 15% Vehicle expenses (acquisition value up to 27,500 EUR) 10% 20% Vehicle expenses (27,500 to 35,000 EUR) 27.5% 37.5% Vehicle expenses (over 35,000 EUR) 35% 45% Entertainment expenses 10% 20% ## Key Tax Benefits in IRC (2026) - **RFAI**: Investment Support Tax Regime with deductions of 10% to 25% on tangible and intangible assets - **DLRR**: Deduction for Retained and Reinvested Profits, 10% deduction up to EUR 12M - **SIFIDE**: R and D Tax Credit with 32.5% to 82.5% deductions on R and D expenses - **Employment Creation**: 50% increase on costs for new permanent positions - **Remote Work (New 2026)**: 110% deduction on telework compensation expenses ## IRC Fiscal Calendar 2026 Date Obligation Notes May 31 Model 22 Submission (IRC) Previous year income declaration May 31 IRC Payment If tax is due July 31 1st Payment on Account Approx. 25% of previous year IRC July 15 IES Submission Simplified Business Information September 15 2nd Payment on Account Approx. 25% of previous year IRC December 15 3rd Payment on Account Approx. 50% of previous year IRC December 31 Fiscal Year End End of normal taxation period ## Global Comparison Table (IRC 2026) Regime / Territory General Rate SME Rate (first 50k EUR) Micro Special Rate Max State Surcharge Mainland (General) 19% 15% \- 9% Mainland (Interior) 19% 12.5% \- 9% Madeira (General) 13.3% 10.5% 8.75% 6.3% **Madeira (Free Zone / CINM)** **5%** **5%** **5%** **\-** Azores (General) 13.3% \- 8.75% 7.2% **Legal Disclaimer** This guide was prepared by YOUR Group based on legislation in force as of April 2026 and is for informational purposes only. It does not replace specialised tax or legal advice tailored to your specific situation. ## Frequently Asked Questions about IRC 2026 Q What is the IRC rate in Portugal in 2026? The general IRC rate in Mainland Portugal is 19% in 2026. For SMEs, the first EUR 50,000 of taxable income is taxed at 15%. In Madeira the general rate is 13.3% and in the Azores also 13.3%. Q Do SMEs pay less IRC? Yes. SMEs and Small Mid Caps benefit from a reduced rate of 15% on the first EUR 50,000 of taxable income on the Mainland. In interior territories, this rate can be even lower (12.5%). Q What is the Madeira Free Zone? The Madeira International Business Centre (CINM) offers an IRC rate of just 5% for companies licensed until 31/12/2026, with benefits valid until 2033. 0 0 Share ### Get the latest tax news Subscribe to our newsletter and receive articles, tax alerts and tips directly in your inbox. Subscribe I agree to receive email communications from Grupo Your. I can unsubscribe at any time. 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