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OE2027: Government Extends IRS and TSU Exemption in Productivity and Performance Awards

The measure was introduced into the 2025 state budget and will continue to apply in 2027.

4 Articles

Lean Right

Productivity and performance awards that do not exceed 6% of a worker's basic pay may continue to be exempt from IRS in 2027. To do so, companies have to make average increases of 4.5%.

·Lisboa, Portugal
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The Minister of Finance assured that there is fiscal neutrality for salary increases of up to 4.5%, due to the updating of the IRS scales and other factors.

·Portugal
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Correio da ManhãCorreio da Manhã
Reposted by
IOL PortugalIOL Portugal

The measure was introduced into the 2025 state budget and will continue to apply in 2027.

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Correio da Manhã broke the news on Thursday, October 8, 2026.
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