The Portuguese Secretary of Finance announced in a dispatch released 27 March (Despacho 129/2020-XXII) that mandatory e-invoicing towards Portuguese public agencies will be softened due to the COVID-19 outbreak.
In light of the COVID-19 epidemiological situation, Portuguese authorities are taking measures to alleviate tax obligations and as a result, soften entry of the B2G supplier mandate. The 18 April 2020 deadline of the mandate has not changed, but the government will consider PDF invoices as e-invoices until 1 July 2020.
The Portuguese supplier mandate, regulated in Decreto-Lei No. 123/2018, states that public entities belonging to the central government be ready to receive e-invoices since 18 April 2019. The supplier mandate is made up of different timelines depending on the size of the sending company:
- Micro sized-enterprises (employs less than 10 people) are obliged to send e-invoices after December 31, 2021.
- Small and medium-sized enterprises (<250 employees) are obliged to send e-invoices after June 30, 2021.
- Large enterprises (>250 employees) must send e-invoices after 31 December 2020.
eSPap, the Public Administration Shared Services Entity, provides the platform for the implementation of the e-invoicing model in Portugal. eSPap is continuously updating their list of receiving entities ready to receive invoices via eSPap and continues to do so despite the recent alterations to the law.
Prior to sending e-invoices to Portuguese public sector via eSPap’s platform, each contracting party will have to go through an adhesion process with eSPap. Given the fact that this integration process can vary in time, now is the chance for Portuguese businesses who want to get ahead of the mandate to start making decisions and implementing e-invoicing solutions.