EU-wide cash payment limit
Under Regulation (EU) 2024/1624, from 10 July 2027, cash payments equal to or above €10,000 will be prohibited in transactions for goods or services when one of the parties is acting in a professional or commercial capacity.
In such cases, traceable payment methods must be used, including:
- Bank transfer
- Bank card
- Named cheque
Exceptions
The limit does not apply to:
- Payments between private individuals acting outside a professional activity
- Deposits or payments made at financial institutions
Situation in Portugal
EU Member States may introduce lower limits.
In Portugal, the current limits are:
- €3,000 for residents
- €10,000 for non-residents
Therefore, significant changes to national legislation are not expected.
Due diligence requirements
Cash transactions between €3,000 and €10,000 carried out between professionals will be subject to customer identification and due diligence obligations.
For transactions involving crypto-assets, due diligence requirements may apply from €1,000.
How Nominaurea can help
Nominaurea provides specialised advisory services to help businesses adapt to new regulatory requirements, including:
- Regulatory impact analysis
- Implementation of compliance procedures
- Tax and accounting advisory
- Client identification and reporting support
Conclusion
The introduction of an EU-wide limit on cash payments represents an important step in improving transparency and strengthening the prevention of money laundering and terrorist financing across the European Union.
