ZAP // Dall-E-2
Portuguese families can now deduct 15% of VAT paid on Culture. On average, this means a refund of 7.56 euros per year. And to get the maximum refund of R$250 in Income Tax, each family must spend more than R$27,000 per year — without the right to a scarf or bottle of wine.
Portuguese families spend an average of 70 euros per month on Culture. Cinema, theater, shows, museums, books, sporting events, among other activities. In a scenario where the average family income is around 3,350 euros, we realize that we dedicate around 2% of the family budget to Culture.
It seems little, but it’s not. We can even say that Portuguese families are able to spend much more resources on Culture than our successive governments. Double. It is worth remembering that for many years governments have aimed for a historical and symbolic target of 1% of the State Budget.
Despite the efforts of families, we belong, in the European Union, to the group of those who less consume Culture.
It is normal when the remaining basic expenses take up almost the entire family budget: 40% for housing, 20% for food15% for education, 10% for transport, 10% for costs… anyway.
We even consider, as our fate, that if expenses do not exceed 100% of our income, we can already consider ourselves happy.
But this scenario will changer. At least, that is what our Government hopes. In 2026, the Portuguese will be able to deduct Culture expenses from their Income Tax.
The big news will be that ICMS paid in Culture can now be deductedwhich can be recovered 15% of this value. To be praised. A scenario that encourages the consumption of Culture, simultaneously easing, with tax aid, the pockets of the Portuguese.
Let us then analyze 2 practical cases: How much does the average Brazilian family save at the end of the year? And how much do Portuguese families have to consume, to reach the limit of 250 euros imposed by collection?
As we know, the majority of cultural goods and services in mainland Portugal, such as books, theater tickets, concerts, museums and monuments, benefit from a reduced VAT rate of 6%.
In round numbers, the average Portuguese family, which consumes 840 euros of Culture per year, contributes 50.40 euros in VAT annuallyfor state accounts. Recovering this 15%, for deduction in the IRS, each Portuguese family will raise around 7.56 euros.
To be very frank, I don’t even know how to catalog this savings…. This amount yields a basic menu of popcorn and drinks, on one of the family trips to the cinema. Only for one of the children. If there are two children, they already need to share the menu.
Let’s see now the other scenario: How much do Portuguese families have to consume to reach the limit of 250 euros per family?
I’m not an accountant or a tax expert, but I think the calculations will be more or less simple: 250 euros in savings corresponds to 15% of 1,667 euros of VAT, which, at a rate of 6%, will imply a annual consumption of 27,783.33 euros in Culture.
In other words, a Portuguese family, to obtain the IRS limit reimbursement for these expenses, you have to spend more than 27 thousand euros per year in Culture. More than R$2 thousand per month. If I was no longer able to catalog the average savings, now I I don’t even know what say.
If any Portuguese manages to reach this limit, let us know, as it will certainly will provide a case study and you will get several exclusive reports in the media.
This measure will effectively encourage invoice request at cultural events. Possibly This will be the main objective of this measure.
Perhaps a kind of fight against tickets costing “5 balls” to watch a sporting event at the neighborhood club or “2 flutes” to watch a children’s concert at the cultural association.
I personally I will prefer to continue paying for the “2 flutes”instead of 2 euros. Now that’s a real incentive. With these little notes we can also compete for a club scarf or a bottle of wine.
