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- Tax, Live in Portugal
Who Pays IRS in Portugal? Taxpayers and the Household (Article 13) Explained
In Portugal, IRS isn’t only about individuals — it’s also about the household (agregado familiar). Who is the taxpayer, who counts as a dependant, and how a couple files all affect the tax you pay. Article 13 of the IRS Code sets the rules. Here’s what you need to know, especially if you’ve just moved to Portugal with your family.
👤 Who Is Subject to IRS?
- Residents in Portugal — taxed on their worldwide income
- Non-residents — taxed only on income obtained in Portugal
When there’s a household, the taxpayers (sujeitos passivos) are the people who make up the couple, and the household’s income includes the income of the dependants.
👨👩👧 Who Is Part of the Household?
The couple:
- Spouses who are not legally separated
- Unmarried partners (união de facto), when they meet the legal requirements (living together for more than two years, with the same tax address)
Or a single parent with dependants.
The dependants:
- Children, adopted children and stepchildren under 18 (not emancipated)
- Children under 25 who don’t earn more than the annual minimum wage (14 × the monthly minimum wage) and were part of the household in the previous year
- Children of any age with a disability of 60% or more, who can’t support themselves
- Children under legal guardianship (tutela) and civil godchildren (afilhados civis), under the same conditions
📌 Important Rules
- Only one household: each person can only be part of one household for IRS purposes
- Children in shared custody (residência alternada): they’re considered dependants of both parents, and the deductions for them are split 50/50
- Dependants with their own income are part of the household’s return — unless they file separately (which means they’re no longer dependants)
- The household’s composition is determined as of 31 December of the tax year
🌍 Foreign Families
- Family members living abroad generally aren’t part of the Portuguese household if they’re not tax residents in Portugal
- Spouses with different residences: if one spouse is resident and the other isn’t, special rules apply — the resident spouse usually files individually
- Registering dependants: children need a NIF to be declared as dependants
💶 Why It Matters
The household composition affects:
- Deductions per dependant (dedução por dependente) — higher for young children
- Health, education and other expenses of the dependants
- The option between separate and joint taxation for couples
- IRS refunds and the amount of tax due
💡 Practical Tips
- Get a NIF for each child as soon as you arrive in Portugal.
- Update your household on the Portal das Finanças (agregado familiar) every year.
- Living in a de facto union? Make sure you share the same tax address for at least two years before opting for joint taxation.
- Shared custody? Both parents must declare it consistently.
🚀 Final Considerations
The household is at the centre of Portuguese IRS. Knowing who is a taxpayer and who counts as a dependant helps you claim all deductions and avoid errors when filing.
📢 Expert Advice: When you move to Portugal with your family, register every family member’s NIF and update the household on the Portal das Finanças before your first IRS return.
Filing your first family IRS return in Portugal? Step Inside Portugal’s tax team can prepare it for you — find out more about our tax services here. ✨
This article is for general information only and doesn’t constitute tax advice. It reflects the rules as of October 2026.
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