Standard VAT rate: 23% (Jan 2011)
Reduced VAT rates: 13% foodstuffs, agricultural supplies
Reduced VAT rates: 6% foodstuffs, books, pharmaceutical, medical, newspapers, hotels, passenger transport
Portugal Value Added Tax was introduced in 1986 as part of the entry of the country into the European Union. It is termed Imposto sobre o valor acrescentado (IVA).