Portugal’s parliament has approved in committee a measure to ensure the deduction from personal income tax of the value-added tax (IVA) levied on purchases of bicycles, with or without a motor, in the form of a proposal from the main opposition Socialist Party (PS) to clarify the situation, two days before the final vote on the 2025 State Budget.The PS proposal was approved despite the parties in the governing coalition – centre-right PSD and CDS-PP – voting against. All other parties voted in favour. The aim of the measure, as stated in the text, is to remove “in a clear and express manner, any difficulty or inequality in exercising the right to deduct VAT paid on the purchase of bicycles by companies or other VAT taxable persons”.
Parliament approves tax deduction of VAT on purchases of bicycles
