CAE Codes 2026: What They Are, How to Consult, and How to Choose (with Practical Examples and Legal References)

What is the CAE and Its Strategic Importance

The CAE functions as the economic "identity card" of any entity before the Portuguese State and other institutions. It is how the State classifies and organises the country's business and professional fabric. Its relevance extends to various spheres of public and private administration, being used by the Tax and Customs Authority (AT), Social Security, the National Institute of Statistics (INE), and numerous licensing, financing, and investment support entities. The structure of the CAE code results from the Portuguese Classification of Economic Activities (CAE Rev.3), which is harmonised and aligned with the European NACE (Nomenclature des Activités Économiques) classification, ensuring international statistical comparability.

The choice and maintenance of the correct CAE is not just a bureaucratic requirement but a strategic decision with direct implications for the life of any business. A poorly chosen or outdated CAE can lead to tax penalties, loss of eligibility for support, and difficulties in accessing credit or licenses.

Structure and Levels of the Portuguese CAE Code

The Portuguese CAE, in its current version (CAE Rev.3), consists of 5 digits and follows a hierarchical structure that goes from the most general to the most specific, allowing for detailed granularity in the classification of activities. This structure is fundamental to understanding the logic behind the assignment of codes.

This hierarchy allows the State and other entities to carry out statistical and sectoral analyses with different levels of aggregation, from the global vision of a sector (Section) to the specific activity of a company (Subclass).

Where the CAE Matters: Practical and Legal Implications

The correct choice of CAE has a profound and multifaceted impact on the life of any company or self-employed professional. Its implications extend across various areas, from taxation to access to financing and licensing.

• Taxation
  • VAT and Corporate Income Tax (IRC)/Personal Income Tax (IRS) Framework: The CAE is crucial for the framework in VAT regimes (normal regime, exemption under Article 53 of the CIVA for reduced turnover, etc.) and for the assessment of IRC for companies or IRS for self-employed individuals. For example, certain activities may benefit from special tax regimes or have differentiated VAT rates (Article 18 of the CIVA).
  • Simplified Regime Coefficients: For self-employed individuals and companies under the simplified IRS/IRC regime, the CAE defines the applicable taxation coefficients for determining taxable income (Article 31 of the CIRS for self-employed, and Article 58-A of the CIRC for companies). Service provision activities, for example, may have a different coefficient than goods sales activities.
  • Specific Taxation: Some activities are subject to specific taxation or particular deductions that depend on the CAE. For example, local accommodation activities (CAE 55201) have a distinct tax regime.
• Licensing and Regulation
  • Many economic activities in Portugal require licenses, authorisations, or compliance with specific requirements before they can be carried out. The CAE is the first filter to identify these obligations. For example, a CAE related to catering (e.g., 56101 – Traditional restaurants) will require licensing from ASAE, compliance with hygiene and food safety standards, and authorisations from the Municipal Council. A consulting activity (e.g., 70220), on the other hand, has much simpler licensing requirements.
• Support and Community/National Funds
  • Eligibility for many incentives and support programmes, such as funds from the Recovery and Resilience Plan (PRR), Portugal 2030, or other European structural and investment funds, is often conditioned by the company's CAE. Innovation or digital transition projects, for example, may be restricted to companies with specific CAEs in sectors considered strategic. The absence of the correct CAE prevents access to these supports, which can be crucial for business growth and development.
• Statistics, Credit, and Commercial Relations
  • Banks, financial institutions, and the National Institute of Statistics (INE) use the CAE for sectoral analysis, risk assessment, and credit granting. A CAE that faithfully reflects the company's activity provides greater credibility and transparency. Furthermore, in commercial relations, the CAE can be an important indicator for partners and suppliers to assess the nature of the business.
• Social Security
  • Although the Social Security framework is primarily determined by the nature of the activity (self-employed, managing partner, etc.), the CAE can influence certain contributions or access to specific social support for certain sectors of activity.

How to Consult the CAE of a Company or Own Activity

It is essential for companies and self-employed professionals to know how to consult their own CAE or the CAE of other entities. There are several ways to do this, depending on the purpose of the consultation:

• Tax Portal (Cadastral Situation): To consult your own CAE (or that of your company), access the Tax Portal with your credentials. In the personal/business area, look for the "Cadastral Data" or "Cadastral Situation" option. There you will find the main CAE and any registered secondary CAEs.
• Permanent Commercial Registry Certificate: For companies with a commercial registry, the Permanent Certificate is an official document containing all relevant information about the company, including its CAEs. It can be requested online through the ePortugal portal, upon payment of a fee. It is a reliable source for verifying the CAE of any registered company.
• Proof of Start/Change of Activity: At the time of starting an activity (for self-employed individuals) or incorporating a company, a declaration of commencement of activity is submitted to the Tax Authorities. This document, as well as declarations of change of activity, specify the registered CAEs. It is a document that should be kept carefully.
• INE Database: The National Institute of Statistics provides online the complete Portuguese Classification of Economic Activities (CAE Rev.3), where it is possible to search and consult the codes and their descriptions. Although it does not provide the CAE of a specific company, it is useful for understanding the options and choosing the most appropriate code.
• Contact a Certified Accountant: The certified accountant is the most suitable professional to confirm and, if necessary, change the CAE of an entity. They have access to their clients' tax data and the technical knowledge to advise on the best classification.

The Strategic Choice and Management of the CAE

Choosing the correct CAE is one of the most important decisions at the start of any economic activity and should be reviewed whenever the business evolves. The CAE must reflect the economic activity actually carried out, both main and secondary.

Criteria for Choosing the Main and Secondary CAEs

• Fidelity to Activity: The main CAE should represent the activity that generates the largest part of the company's gross value added or the self-employed professional's income. Secondary CAEs should cover all other relevant activities, even if complementary.
• Adequate Scope: Avoid overly generic CAEs that may not qualify for specific support, or overly restrictive ones that do not cover all areas of operation.
• Consultation of the CAE Table: It is crucial to consult the Portuguese Classification of Economic Activities (CAE Rev.3) on the INE website to understand the descriptions of each code. The detailed description is essential to avoid misinterpretations.
• Forecasting Future Activities: If there are plans to diversify the business in the near future, it may be prudent to already include the corresponding CAEs as secondary, avoiding future bureaucracy.

Examples of Common CAEs and Their Implications

• 68100 — Buying and selling of own real estate: Specific tax implications for the real estate sector, such as the Municipal Tax on Onerous Property Transfers (IMT) and Stamp Duty, and framework in VAT regimes.
• 68200 — Rental of own real estate: Relevant for local accommodation activities (although more specific CAEs like 55201 exist) and long-term rental, with rental taxation regimes.
• 62010 — Computer programming activities: Often associated with self-employed professionals and technology-based startups, potentially benefiting from tax regimes for innovation.
• 70220 — Business and management consultancy activities: A very common CAE for service providers, with implications for the simplified IRS/IRC regime (75% coefficient on services, Article 31 of the CIRS).
• 56101 — Traditional restaurants: Requires strict sanitary and municipal licensing, and has implications for VAT (reduced rates for food and beverages).
• 41200 — Construction of buildings: Requires a construction permit, civil liability insurance, and compliance with occupational safety standards.

Common Mistakes to Avoid in CAE Selection and Management

The selection and management of the CAE is a process that is sometimes undervalued, but which can have significant consequences if not treated with due attention. Common mistakes include:

• Choosing an Overly Generic CAE: Opting for a very broad code can lead to the company not being eligible for specific sectoral support or its activity not being correctly understood by financial or regulatory entities. For example, choosing a generic CAE for "Other service activities" instead of a specific one for "Software development" can limit access to innovation incentives.
• Omission of Relevant Secondary CAEs: Companies that carry out several activities must have all their CAEs registered. Invoicing services or products that are not covered by any registered CAE can raise questions with the AT and, in extreme cases, be interpreted as illegal or undeclared activity, leading to fines.
• Incorrect CAE for the Tax Regime: Some activities have specific tax regimes or distinct income assessment coefficients. An incorrect CAE can result in an unfavourable tax framework or the loss of tax benefits. For example, local accommodation activities (CAE 55201) have a more advantageous simplified regime than traditional rental (CAE 68200) for certain situations.
• Failure to Update the CAE with Business Evolution: Companies evolve, and their activities can change. Failure to update the CAE when there is a significant change in the core business or the introduction of new business lines can lead to tax and regulatory misalignments.
• Lack of Knowledge of Associated Licensing Requirements: Each CAE can bring with it a set of legal and licensing requirements. Failure to verify these requirements before starting the activity can result in fines, closure of the activity, or difficulties in obtaining authorisations.
• Exclusive Reliance on the Accountant without Internal Validation: Although the accountant is fundamental, the ultimate responsibility for the CAE lies with the company. It is crucial that the entrepreneur understands the chosen codes and validates whether they correspond to the reality of their business.
• Failure to Consult the CAE Table in Detail: Often, a CAE is chosen based only on the short description. It is fundamental to consult the complete description at the INE to ensure that the activity fits perfectly, avoiding ambiguities.

Practical Examples and Numerical Calculations

Example 1: Taxation Coefficient in the Simplified Regime (Self-Employed Individual)

Consider a self-employed individual subject to the simplified IRS regime, who earns income from category B.

• Scenario A: Management Consultant (CAE 70220)
  • Activity: Provision of consulting services.
  • Annual Gross Income: €30,000.00.
  • Taxation Coefficient (Article 31, No. 1, paragraph b) of the CIRS): For service provision, the coefficient is 0.75.
  • Taxable Income: €30,000.00 x 0.75 = €22,500.00.
  • Implication: IRS taxation will be based on €22,500.00, plus any income from other categories.
• Scenario B: Online Product Seller (CAE 47910 - Retail sale via mail order houses or via Internet)
  • Activity: Sale of goods through an online platform.
  • Annual Gross Income: €30,000.00.
  • Taxation Coefficient (Article 31, No. 1, paragraph a) of the CIRS): For sales of goods and products, the coefficient is 0.15.
  • Taxable Income: €30,000.00 x 0.15 = €4,500.00.
  • Implication: IRS taxation will be based on €4,500.00. The difference in taxable income is substantial due to the CAE.

Conclusion: The correct choice of CAE is crucial for determining the tax base for IRS under the simplified regime, potentially leading to a significant difference in the tax payable.

Example 2: Eligibility for Support and Incentives (Company)

A company intends to apply for an innovation and digitalisation incentive programme, co-financed by European funds, which offers an incentive rate of 50% on eligible expenses up to a limit of €100,000.00.

• Scenario A: Software Development Company (CAE 62010 - Computer programming activities)
  • Activity: Development of innovative software.
  • Programme Requirement: Be an SME with a CAE in the technology and innovation area (e.g., section J - Information and Communication).
  • Eligibility: CAE 62010 perfectly fits the programme requirements.
  • Eligible Expenses: €80,000.00 (software acquisition, R&D consulting, training).
  • Incentive Received: €80,000.00 x 0.50 = €40,000.00.
• Scenario B: Generic Administrative Services Company (CAE 82110 - Combined office administrative service activities)
  • Activity: Provision of secretarial and administrative support services.
  • Programme Requirement: Same as Scenario A.
  • Eligibility: CAE 82110 does not fall within the priority technology and innovation sectors defined by the programme.
  • Eligible Expenses: €80,000.00.
  • Incentive Received: €0.00.

Conclusion: A CAE aligned with the priorities of incentive programmes is a critical eligibility factor, which can mean the difference between accessing significant funding or being excluded.

Example 3: VAT Framework (Company)

A company provides professional training services.

• Scenario A: Certified Professional Training (CAE 85591 - Professional training)
  • Activity: Provision of professional training services recognised by competent entities.
  • Tax Implication (Article 9, No. 10 of the CIVA): Professional training services, provided by recognised organisations, are exempt from VAT.
  • Invoicing: €10,000.00 (without VAT).
  • Advantage: More competitive prices (no VAT added) and administrative simplification (exemption from VAT settlement and payment).
• Scenario B: Non-Certified Training or Consulting (CAE 70220 - Business and management consultancy activities)
  • Activity: Provision of consulting services with an informal, non-certified training component.
  • Tax Implication (Article 9 of the CIVA): This activity does not benefit from the exemption of Article 9, No. 10 of the CIVA, being subject to the normal VAT rate (23% in mainland Portugal).
  • Invoicing: €10,000.00 + 23% VAT = €12,300.00.
  • Disadvantage: The final price for the client is higher (if they cannot deduct VAT) and the company has VAT settlement and payment obligations.

Conclusion: The CAE and the exact nature of the activity can determine whether a company is exempt from or subject to VAT, with a direct impact on its competitiveness and tax obligations.

Frequently Asked Questions about the CAE

What is a company's CAE?

It is the 5-digit code from the Portuguese Classification of Economic Activities (CAE Rev.3) that identifies the main economic activity and the secondary activities that the company or self-employed professional carries out. It is an essential tool used by the Tax Authority, Social Security, INE, and licensing entities to classify and regulate the economic fabric.

How to find a company's CAE?

You can consult your own CAE on the Tax Portal (in the cadastral situation) or on the proof of commencement of activity. To consult another company's CAE, you can request the Permanent Commercial Registry Certificate of the company. Your certified accountant will also have access to this information and can confirm it.

What is CAE 68100?

CAE 68100 corresponds to the activity of "Buying and selling of own real estate". It falls under division 68 – Real estate activities, and section L – Real Estate Activities. It is a fundamental code for companies and professionals operating in the real estate transaction market.

Can I have more than one CAE?

Yes. Each entity must have a main CAE, which represents its predominant activity. Additionally, it can have several secondary CAEs, which identify other relevant economic activities that the company or self-employed professional also carries out. It is crucial that all CAEs corresponding to activities actually carried out are duly registered.

Can I change the CAE after starting activity?

Yes, the CAE can and should be changed whenever the company's main activity changes or when new relevant secondary activities are started. The change is made by submitting an amendment declaration to the Tax Authorities (Form 03 for individuals or Form 01 for legal entities), usually handled by the certified accountant. It is important that this change is prompt to ensure the correct tax and legal framework.

What is the difference between Main and Secondary CAE?

The main CAE should correspond to the activity that generates the largest part of the company's gross value added or turnover. Secondary CAEs cover all other relevant economic activities that the company or self-employed professional carries out. Both are important for the tax framework and for access to support, but the main one defines the entity's primary sector of activity.

How HVR Business Consulting Helps with Your CAE Management

At HVR Business Consulting, we understand the complexity and strategic importance of correct CAE management. Our team of accounting and tax specialists offers comprehensive support to ensure that your company or independent activity is always properly framed.

• CAE Validation and Selection: At the start of your activity, or during restructurings, we thoroughly analyse your business model to identify and validate the most appropriate main CAE and secondary CAEs, ensuring they faithfully reflect your operations and optimise your tax framework.
• Continuous Monitoring and Adjustment: As your business evolves, expands into new areas, or changes its focus, we monitor the need to update your CAEs, handling all amendment declarations with the Tax Authorities.
• Tax Optimisation and Access to Support: A well-chosen CAE is key to a correct tax framework and eligibility for various incentives and financing programmes (national and European). We advise on the best options to maximise tax benefits and support opportunities for your company.
• Legal Compliance: We ensure that your CAEs comply with current legislation, avoiding the risk of penalties and ensuring a legal and transparent operation of your activity.

Don't let the complexity of CAE codes become an obstacle to your success. Count on HVR Business Consulting for professional and strategic management of your economic framework. See our accounting services and discover how we can be your trusted partner.

Conclusion: The Importance of Proactive CAE Management

The Portuguese Classification of Economic Activities (CAE) is much more than a mere bureaucratic code; it is a fundamental pillar in the management and success of any company or professional activity in Portugal. Its correct choice and continuous updating have direct and profound implications in critical areas such as taxation, access to support and incentives, compliance with licensing requirements, and the very perception of the business by partners and financial institutions.

Proactive CAE management not only avoids errors and tax penalties but also optimises the business framework, provides access to financing opportunities, and ensures an operation in full compliance with legislation. It is an investment in the transparency, credibility, and sustainability of your project.

We strongly recommend that, at the start of activity and at each stage of your business's evolution, you dedicate due attention to the analysis and validation of your CAEs. Consultation and monitoring by a certified accountant is not just good practice but an essential step to ensure that your economic "identity card" is always up-to-date and optimised for your needs. Do not hesitate to seek specialised advice to ensure that your CAE works in your favour, boosting the growth and profitability of your company.

Call to Action (CTA): Do you need help choosing or reviewing your company's CAEs? Contact HVR Business Consulting today for a specialised consultation and ensure the perfect framework for your business!

Sources and Legal References

• Personal Income Tax Code (CIRS)
  • Article 31 (Simplified Regime): Defines the applicable coefficients for determining the taxable income of self-employed professionals.
• Corporate Income Tax Code (CIRC)
  • Article 58-A (Simplified Regime): Establishes the rules for assessing the taxable income of companies under the simplified regime.
• Value Added Tax Code (CIVA)
  • Article 9 (Exemptions in domestic transactions): Details VAT exemptions, including those related to certain professional training activities (No. 10).
  • Article 18 (Rates): Defines the applicable VAT rates (reduced, intermediate, and standard).
  • Article 53 (Exemption for small retailers and other taxpayers): Establishes the exemption regime for companies with reduced turnover.
• Portuguese Classification of Economic Activities (CAE Rev.3)
  • Published by the National Institute of Statistics (INE) and available for consultation on its official website. It is the legal basis for the classification of economic activities.
• Tax Benefits Statute (EBF)
  • Contains various tax benefit regimes that may be conditioned by the type of activity carried out (CAE), such as investment or innovation incentives.
• Ordinance No. 40/2015, of February 13
  • Approves the list of high value-added activities for the purposes of the tax regime for non-habitual residents, where the CAE is an eligibility criterion.
• Specific sectoral licensing legislation
  • Examples: Legal Regime for Local Accommodation Activity (Decree-Law No. 128/2014), Regulation for the Exercise of Construction Activity (Law No. 41/2015).

Opening a company or changing your CAE?

Choosing the CAE is one of the first steps when setting up a business — see our guide on how to open a company in Portugal.

For professional support, explore accounting firms in Lisbon or our certified accounting for companies — we handle the CAE at the start of activity and any later changes.

CAE for buying and selling property and condominiums

CAE 68100 — compra e venda de imóveis (buying and selling of own real estate) is the code for property trading, i.e. buying real estate for resale. Renting out your own property uses CAE 68200.

For condominium administration and managing property on behalf of third parties, the correct code is CAE 68320 — real estate management and administration; when the service combines cleaning and maintenance, use 81100 — combined building support services. Choosing the right CAE avoids VAT and activity-registration errors.