Portugal to approve new personal income tax cuts

Portuguese Prime Minister Luís Montenegro announced that the Council of Ministers will approve a fifth reduction in personal income tax (IRS) within two and a half years. The measure aims to target the middle class and extend relief to the sixth tax bracket.

Montenegro emphasized that these tax cuts will be implemented without compromising the national budget or increasing public debt. He noted that the country is on track for its fourth consecutive budget surplus, which allows for fiscal relief while maintaining economic stability. The Prime Minister stated that investing in human resources through tax relief is a key factor for national competitiveness.