{"id":4283,"date":"2025-11-28T11:58:22","date_gmt":"2025-11-28T11:58:22","guid":{"rendered":"https:\/\/www.nominaurea.pt\/?p=4283"},"modified":"2025-11-28T13:41:24","modified_gmt":"2025-11-28T13:41:24","slug":"portugal-vat-and-green-vehicles-what-the-circular-letter-no-25088-2025-changes","status":"publish","type":"post","link":"https:\/\/www.nominaurea.pt\/en\/noticias\/portugal-vat-and-green-vehicles-what-the-circular-letter-no-25088-2025-changes\/","title":{"rendered":"Portugal VAT and Green Vehicles: What the Circular Letter No. 25088\/2025 Changes"},"content":{"rendered":"<p>Owning a \u201cgreen\u201d car is no longer enough to guarantee VAT deduction. The Circular imposes precise and mandatory criteria.<\/p>\n<ol>\n<li><strong> Cost limits: the rule that determines everything<\/strong><\/li>\n<\/ol>\n<ul>\n<li>\u26a1 Electric vehicles: up to <strong>\u20ac62,500<\/strong><\/li>\n<li>\ud83d\udd0c Plug-in hybrids: up to <strong>\u20ac50,000<\/strong><\/li>\n<li>\ud83d\udfe2 LPG\/CNG: up to <strong>\u20ac37,500<\/strong> \u2192 VAT deduction <strong>limited to 50%<\/strong><\/li>\n<\/ul>\n<p>If the total cost (vehicle + extras + legal expenses) exceeds these limits, all VAT becomes <strong>non-deductible<\/strong>.<\/p>\n<ol start=\"2\">\n<li><strong> Leasing and renting: the invoice determines VAT<\/strong><\/li>\n<\/ol>\n<ul>\n<li style=\"list-style-type: none;\">\n<ul style=\"list-style: none; padding-left: 30px; margin: 0;\">\n<li>\u2714 <strong>Factura con l\u00edneas separadas<\/strong> \u2192 solo es deducible el IVA de la <strong>locaci\u00f3n<\/strong>, si el veh\u00edculo respeta los l\u00edmites.<\/li>\n<li>\u2718 <strong>Factura con importe \u00fanico<\/strong> \u2192 <strong>IVA no deducible<\/strong>.<\/li>\n<\/ul>\n<\/li>\n<\/ul>\n<ol start=\"3\">\n<li><strong> Private use: deduction triggers taxation<\/strong><\/li>\n<\/ol>\n<p>If VAT is deducted under Article 21(2)(f) or (g):<\/p>\n<p>\u27a1 private use becomes a <strong>taxable service<\/strong>, proportional to private kilometres.<\/p>\n<p><strong>Conclusion<\/strong><\/p>\n<p>Circular Letter 25088\/2025 clarifies and tightens green-vehicle VAT rules. Companies must check total cost, demand detailed invoices and monitor private use to avoid adjustments.<\/p>\n<p><strong>How <a href=\"https:\/\/www.nominaurea.pt\/en\/\">Nominaurea <\/a>can help<\/strong><\/p>\n<p><a href=\"https:\/\/www.nominaurea.pt\/en\/\"><strong>Nominaurea<\/strong> <\/a>provides:<\/p>\n<ul>\n<li>tax assessment of vehicle acquisitions,<\/li>\n<li>verification of VAT deduction eligibility,<\/li>\n<li>leasing\/renting invoice and contract review,<\/li>\n<li>private-use monitoring tools,<\/li>\n<li>inspection-ready documentation.<\/li>\n<\/ul>\n<p><a href=\"https:\/\/www.nominaurea.pt\/wp-content\/uploads\/2025\/11\/IVA-e-Viaturas-Verdes-en.pdf\">See PDF<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Owning a \u201cgreen\u201d car is no longer enough to guarantee VAT deduction. The Circular imposes precise and mandatory criteria. Cost limits: the rule that determines everything \u26a1 Electric vehicles: up to \u20ac62,500 \ud83d\udd0c Plug-in hybrids: up to \u20ac50,000 \ud83d\udfe2 LPG\/CNG: up to \u20ac37,500 \u2192 VAT deduction limited to 50% If the total cost (vehicle + [&hellip;]<\/p>\n","protected":false},"author":3,"featured_media":4357,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-4283","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-publications"],"_links":{"self":[{"href":"https:\/\/www.nominaurea.pt\/en\/wp-json\/wp\/v2\/posts\/4283","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.nominaurea.pt\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.nominaurea.pt\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.nominaurea.pt\/en\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/www.nominaurea.pt\/en\/wp-json\/wp\/v2\/comments?post=4283"}],"version-history":[{"count":3,"href":"https:\/\/www.nominaurea.pt\/en\/wp-json\/wp\/v2\/posts\/4283\/revisions"}],"predecessor-version":[{"id":4299,"href":"https:\/\/www.nominaurea.pt\/en\/wp-json\/wp\/v2\/posts\/4283\/revisions\/4299"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.nominaurea.pt\/en\/wp-json\/wp\/v2\/media\/4357"}],"wp:attachment":[{"href":"https:\/\/www.nominaurea.pt\/en\/wp-json\/wp\/v2\/media?parent=4283"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.nominaurea.pt\/en\/wp-json\/wp\/v2\/categories?post=4283"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.nominaurea.pt\/en\/wp-json\/wp\/v2\/tags?post=4283"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}