The Introduction of the “VAT Group” Regime in Portugal: A Leap Ahead or a Small Step with Caveats?

In this article, the author analyses the recent implementation of the VAT group regime in Portugal. Starting from a brief overview of the EU law provision that serves as a base at the national level – article 11 of the VAT Directive – it then delves into the main characteristics of the Portuguese implementation, unveiling how it differs from the former and the way in which it does not safeguard nor attain its main and intended goals. Critically, the author concludes that the measures’ limited advantages and strict requirements transform an otherwise domestic VAT landmark into a measure that almost completely defeats its purpose, risks infringing EU law and possesses questionable overall attractiveness.