Portugal Invoicing
Invoicing B2B software and subscriptions: customers in Portugal
You sell software access, a licence or a subscription to a business. Prepare records that distinguish the product, any additional services and the identity of the contractual seller.
Let’s discuss your project
A few details to understand your business and the next step.
Bertrand Jayol receives your enquiry for an initial assessment. Referral to the partner is considered with your agreement. Privacy
Separate subscriptions from associated services
Describe the access sold, its duration and everything included in the price. Implementation, training or custom development may need a description separate from the subscription. Identify the customer company and establishment using the service. If a reseller is involved, check who sells to the user and which agreement connects you to the intermediary. A payment tool and a reseller do not necessarily create the same invoice chain or the same supporting documents.
- Licence or subscription agreement and access period.
- Customer entity and evidence of business status.
- Additional services and the distribution arrangement.
Locate the service before choosing its treatment
For a supplier established in Portugal and a Portuguese customer, start with article 6 of the VAT Code. The general rules locate B2B services received by a Portuguese establishment and B2C services supplied from Portugal in Portugal, subject to specific categories. That location alone does not determine a rate or exemption. Have the offer, seller’s VAT regime and precise territorial location examined where relevant before configuring invoices. A domestic customer address is one input to the review, rather than a complete tax determination.
Prepare a consistent invoice and supporting file
Connect each sale to an agreement or order, a period and evidence of delivery. Gather seller and customer identifiers, amounts, currency and payment terms. Have the VAT wording or applicable basis checked before reusing the template. Keep credit notes and corrections with the relevant invoice. A bank statement confirms a payment but does not, by itself, explain the service or its treatment. Test the document flow with one complete transaction before relying on it for a larger set of customers.
Prepare for renewals and customer changes
Retain records of access periods, plan changes and refunds. A customer may ask to replace the paying entity with another group company; have the details checked before the next renewal. Show direct sales separately from sales through a third-party merchant of record. Your invoicing settings should reflect those relationships. A single category covering every overseas customer removes distinctions needed for a proper review and makes later correction harder when information changes.
Portugal
Before you incorporate
Registering as self-employed and incorporating a company are different routes. The choice depends on how your business actually operates. A Portuguese company alone does not determine your tax residence or the treatment of every source of income.
Information to gather
- Your country of residence and where you actually work.
- A description of the services or products you sell.
- Whether your customers are businesses or individuals, and their countries.
- Any shareholders, existing business structure and your planned timing.
Sources and references
Content reviewed on