Reference
Simplified Regime Coefficients, IRS & IRC (Portugal 2026)
Last updated: 2026-05-03
What coefficients do
Under the simplified regime (regime simplificado), you don't deduct individual business expenses. Instead, the tax authority applies a coefficient to your gross revenue. The result is your taxable income.
A coefficient of 0.75 means 75% of your revenue is taxable, the remaining 25% is assumed to be business costs.
IRS coefficients (sole proprietors)
For trabalhadores independentes under the IRS simplified regime. Legal basis: Article 31 CIRS.
| Activity type | Coefficient | Taxable % |
|---|---|---|
| Services, Art. 151 listed professions | 0.75 | 75% |
| Services, not in Art. 151 | 0.35 | 35% |
| Sales of goods | 0.15 | 15% |
| Short-term accommodation | 0.35 | 35% |
| IP licensing, crypto mining | 0.95 | 95% |
| Operating subsidies | 0.10 | 10% |
Art. 151 professions include: software developers, IT consultants, architects, lawyers, accountants, doctors, engineers, and most professional services. If you're a freelance developer or consultant, you're almost certainly at 0.75.
First-year discount
| Year | Services coefficient (Art. 151) | Taxable % |
|---|---|---|
| Year 1 | 0.375 | 37.5% |
| Year 2 | 0.5625 | 56.25% |
| Year 3+ | 0.75 | 75% |
Conditions: no employment/pension income in same year, haven't closed similar activity in last 5 years.
IRC coefficients (companies)
For companies (Lda, Unipessoal Lda) on the IRC simplified regime. Legal basis: Article 86-B CIRC.
| Revenue type | Coefficient | Effective tax (at 15% PME) |
|---|---|---|
| Sales of goods, restaurant/hotel | 0.04 | ~0.6% |
| Services (general) | 0.10 | ~1.5% |
| Cryptocurrency income | 0.15 | ~2.25% |
| Non-operating subsidies | 0.30 | ~4.5% |
| Local accommodation | 0.35 | ~5.25% |
| Professional services (Art. 151) | 0.75 | ~11.25% |
| Crypto mining, IP, capital income | 0.95 | ~14.25% |
IRC startup bonus
| Year | General services coefficient | Effective tax |
|---|---|---|
| Year 1 | 0.05 (halved) | ~0.75% |
| Year 2 | 0.075 (reduced 25%) | ~1.1% |
| Year 3+ | 0.10 (standard) | ~1.5% |
IRS vs IRC simplified, key difference
The same activity can have very different coefficients depending on whether you operate as a sole proprietor or a company. A software consultant pays tax on 75% of revenue as a sole proprietor (IRS) but only 10% as a company (IRC). This gap is the main reason founders switch to an Lda at higher revenue levels.