Automatic IRS in Portugal: How it works and who can benefit

March 15, 2026
, Tips

Automatic IRS (IRS Automático) is a simple and efficient way to file your annual Portuguese income tax return. It allows some taxpayers to fulfil their tax obligations without having to manually complete the entire declaration.

Although the system has been in place since 2017, it still raises questions for many taxpayers. Over the years, the eligibility criteria have also evolved, with more taxpayers becoming covered by the automatic filing system.

In this article, we explain how Automatic IRS works, who is eligible, and how to submit your return correctly.

How does automatic IRS work?

The process is straightforward.

The Portuguese Tax and Customs Authority (Autoridade Tributária e Aduaneira – AT) prepares a pre-completed provisional tax return for each applicable tax regime using the information already available in its records.

The provisional return includes details such as:

Employment or pension income received;
Tax withheld at source;
Household composition;
Deductible expenses considered for tax relief;
Other relevant tax information.

This information forms the basis for calculating both the available tax deductions and the provisional IRS assessment.

If you agree with the information provided, you simply confirm and submit the return.

If you identify any inaccuracies, you may submit a new IRS return with the corrected information at any time before the filing deadline.

It is important to note that if you do not confirm or amend the provisional return by 30 June, the Portuguese Tax Authority will automatically consider the information to be correct, and the provisional declaration will become your final IRS return.

For this reason, you should always review the information carefully before the filing deadline to ensure that all data is accurate.

Where a tax refund is due, taxpayers using Automatic IRS generally receive it within approximately 15 days after the return has been submitted, although processing times may vary.

Who can use Automatic IRS

Automatic IRS is generally available to:

Employees earning employment income (Category A);
Pensioners receiving pension income, with or without dependants, provided they do not receive maintenance payments or benefit from certain tax reliefs.

Since 2021, the system has also been extended to include certain self-employed taxpayers operating under the Simplified Tax Regime, provided their professional activity is included in the list established under Article 151 of the Portuguese Personal Income Tax Code (Código do IRS).

From April onwards, taxpayers can check whether they are eligible by logging into the Portal das Finanças.

Additional Eligibility Requirements

In addition to the income conditions outlined above, taxpayers must also satisfy several other requirements to qualify for Automatic IRS.

Generally, you must:

Be a Portuguese tax resident throughout the entire tax year;
Not hold Non-Habitual Resident (NHR) status;
Receive income exclusively from Portuguese sources;
Not claim deductions relating to dependent ascendants or persons with disabilities;
Not benefit from tax incentives, except donations made under the Portuguese tax patronage (mecenato) regime;
Not have additional taxable income arising from the failure to comply with conditions attached to previous tax benefits.

If any of these conditions are not met, you may be required to submit a standard IRS return instead.

Step-by-Step Guide to submitting an Automatic IRS return

Access the Portal das Finanças

Confirm the Tax Return

If you are eligible for Automatic IRS, select “Confirm Declaration” (Confirmar Declaração).

If you are not covered by the automatic system, choose “Submit Declaration” (Entregar Declaração) and complete the standard tax return.

Verify Your Household Information

Review the details relating to your household and ensure they are accurate and up to date.

If everything is correct, proceed by clicking Continue.

Review Income, Tax Withheld and Deductions

The system will display:

Your declared income;
Tax withheld during the year;
Eligible deductible expenses.

Review all information carefully.

If any data is incorrect or incomplete, you should submit a manually completed IRS return with the corrected information.

Choose Your Filing Method

If applicable, select whether you wish to file:

Jointly, or
Separately.

Choosing the most advantageous option depends on your household’s individual circumstances, income levels, and available deductions. For more details about this form of IRS filling, please check this article.

Allocate Part of Your IRS (Optional)

Before submitting your return, you may choose to allocate 0.5% of your assessed IRS to an eligible charitable, cultural, environmental, or religious organization through the IRS Tax Allocation Scheme (Consignação do IRS).

This option comes at no additional cost to you. For more details about this form of IRS filling, please check this article.

Submit Your Tax Return

Once you have reviewed all information and confirmed that everything is correct, click Accept to finalize and submit your IRS return.

Always Review Your Automatic IRS Return

Automatic IRS makes filing your annual tax return significantly quicker and more convenient.

However, despite the information being pre-filled by the Portuguese Tax Authority, it remains your responsibility to verify that all details are accurate before submission.

Taking a few minutes to review your provisional declaration can help prevent errors, maximize your available tax deductions, and ensure your tax return reflects your actual circumstances.

If you have any questions about Automatic IRS or your eligibility, consult a Certified Accountant who can advise you on the most appropriate filing method for your individual situation.