Portuguese changes on excise duties

The Portuguese authorities announced an increase on excise duties charged on diesel and a decrease on these duties on petrol

25 February, 2017

Increase on excise duties in Portugal

Since 1 January 2017, the applicable duties on commodity codes  2710 11 41/9 (petrol products) decreased from €568.95 to €548.9 for every 1,000 litres. Respectively, duties on diesel related products with commodity codes 2710 19 41/9 increased from €318.41 to €338.31 for every 1,000 litres.

Why an increase?

These changes are in line with a trend on increasing taxes on petrol over diesel in connection to environmental initiatives across Europe. Last year, France announced an increasing VAT deduction limit on petrol over the next few years.

Refunds on excise duties

In addition to these changes, following our announcement last August on the expected changes on the refund mechanism for excise duties, the Portuguese authorities clarified the formalities required to benefit from these refunds.

The new excise refund regime obliges gas stations and fleet card issuers to register in the system and request an electronic validation from the Portuguese authorities.

The system of fleet card issuers and gas stations must comply with a number of system and content requirements in order to receive such validation. Only then these businesses will be eligible to receive a refund of the excise duties paid.


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