In the last quarter of 2013 enters into force the cash accounting scheme for VAT approved by the Decree-Law 71/2013, of May 30.
The new law aims to promote the improvement of corporate treasury allowing the payment of VAT only when the customer pays the invoice.
In a first stage, the cash accounting scheme for VAT can only be adopted by companies with an annual turnover at up to 500 000 Euros. However, the Gov-ernment estimate that this measure will cover more than 85% of Portuguese companies.
Aware of the economic impact of the new law, we prepared and disclose the present Legal Update.