How we calculate

Open the calculator →

This page explains, calculator by calculator, which rules we apply, where the figures come from and how we check that the numbers are right.

All calculations run in your browser and follow the law and each year's official tables. Where possible, the calculator shows the formula used (table row, rate and deduction) so you can redo the maths yourself.

Net salary

Monthly IRS withholding follows art. 99.º-C of the IRS Code and the 2026 withholding tables: Despacho 233-A/2026 for the Mainland and Despacho 19/2026 for Madeira, with rows above €3,203 corrected by Declaração de Retificação 10/2026. The formula is:

Withholding = R × marginal rate − deduction amount − amount per dependant × number of dependants

With three or more dependants the marginal rate drops by 1 percentage point. For the Azores, we estimate withholding as the Mainland figure × 0.70, and say so in the calculator.

• Holiday and Christmas pay are withheld separately (art. 99.º-C, paras 5–7).
• Overtime is withheld at 50% of the month's effective rate.
• IRS Jovem (art. 12.º-B and 99.º-F): the table rate is applied only to the non-exempt part, capped at 55 × IAS a year.
• Meal allowance is tax-free up to €6.15/day in cash or €10.46/day on a card (Portaria 51-B/2026).
• Social Security: 11% employee and 23.75% employer under the general scheme.
• Special regimes: non-residents 25%; IFICI 20%; Programa Regressar estimated on 50% of income.

Annual IRS

We estimate the Modelo 3 assessment in the order of the IRS Code: specific deduction (art. 25.º, 8.54 × IAS), the joint-filing quotient (art. 69.º), the brackets (art. 68.º) and solidarity surcharge (art. 68.º-A), the minimum subsistence amount (art. 70.º) and the tax credits of art. 78.º–87.º with the overall cap of art. 78.º(7). Capital income, rents and gains use the special rates of art. 71.º and 72.º, with the option to aggregate where allowed. For 2026 you can toggle the rate cut for brackets 1–6 approved by Parliament in October 2026 but not yet published.

Freelance (recibos verdes)

• Taxable income uses the art. 31.º coefficients and the 15% rule, plus start-up reductions where they apply.
• Activities come from the art. 151.º table, each with its coefficient, withholding rate and VAT rule.
• Withholding under art. 101.º (23%, 11.5% or 16.5%), with the exemption up to €15,000.
• VAT exemption under art. 53.º CIVA up to €15,000 (immediate exit above €18,750).
• Social Security under the Contributory Code: 21.4% on 70% of services, with the minimum, cap and first-year exemption.
• Payments on account (art. 102.º): 65% of the category B tax less withholding, in three instalments.

IMT and Stamp Duty

IMT follows art. 17.º of the IMT Code and the 2026 tables in AT Ofício Circulado 40129/2026, on the higher of price and taxable property value. IMT Jovem (DL 48-A/2024) applies to the share of each qualifying buyer. Stamp Duty is 0.8%. Non-residents pay the flat 7.5% rate of DL 97/2026. For 2027 we use the State Budget proposal (brackets +2.3%), flagged as an estimate.

Tax deadlines

When a deadline falls on a weekend or national holiday, it moves to the next business day (CPPT art. 20.º and Civil Code art. 279.º). Moveable holidays are calculated from each year's Easter date.

Quality control

The calculation code is covered by more than 330 automated tests against the official tables and hand-worked cases, run before every release. In October 2026 an independent audit of all calculators found and fixed some issues, such as the Madeira table rectification and the company car autonomous taxation rates. We do not claim to be infallible, which is why we test and welcome corrections.

Limitations

Results are estimates and may differ from the AT or Social Security. 2027 rules come from a bill and may change. Azores tables are estimated. Some situations are not covered or are simplified, such as pension withholding tables, organised-accounting details and income from several countries.

Update log

• 12/10/2026 — Launch: salary, annual IRS, freelance, IMT and deadlines calculators, in Portuguese and English.
• 13/10/2026 — Audit and corrections: Madeira tables per Declaração de Retificação 10/2026; voluntary withholding rate; company car autonomous taxation at 8/25/32% with €37,500/€45,000 thresholds; minimum subsistence amount for category B; capital-gains netting.
• 19/10/2026 — IMT Jovem defaults and clearer limit messages.
• 26/10/2026 — New guides and this methodology page.

Found a mistake?

If a result does not match your assessment, payslip or the law, tell us via our contact page, ideally with the figures you used and the result you expected.