Lisbon, Jan. 16, 2025 (Lusa) - Payment of road tax in Portugal (IUC) of up to €100 will be made by the end of February, starting in 2026, and will be split into two instalments, paid in February and October, when it exceeds €100.

This measure is part of the tax simplification package the government presented in Thursday at a joint press conference by the finance and economy ministers after the cabinet meeting.

Currently, IUC is paid in the month of registration, but "many people forget which month they bought the car, or it was bought second-hand" and this leads to delays in payment and fines, said Finance Minister Miranda Sarmento.

The government has therefore decided to establish a month for paying the tax, if it is up to €100, which will be February.

If it exceeds €100, it will be paid in two equal instalments in February and October, said Joaquim Miranda Sarmento.

He also emphasised that "this is a measure that will only come into force in 2026" and that the road tax will be due by the car owner at the end of the year prior to the tax due.

MES/ADB // ADB.

Lusa