IRC Payments on Account 2026 (Portugal): Deadlines, How They Are Calculated and How to Pay

By Hugo Ribeiro, Certified Accountant · Member of the Order of Certified Accountants · HVR Business Consulting

A payment on account (PPC) is an advance payment of corporate income tax (IRC), made in three instalments — July, September and by 15 December 2026. Each instalment is based on the prior year's IRC assessment.

Who must pay

  • Companies subject to IRC with commercial/industrial/agricultural activity;
  • Whose prior-year net IRC assessment was above 200€.

2026 deadlines

Instalment2026 deadline
1stby 31 July 2026
2ndby 30 September 2026
3rdby 15 December 2026

Calculation

80% of net prior-year IRC if turnover up to 500,000€, 95% if above. Split into three equal instalments.

Limiting the third instalment

You may limit or suspend it if tax already paid covers the IRC due — but a shortfall above 20% triggers compensatory interest.

FAQs

What are the 2026 deadlines?

31 July, 30 September and 15 December 2026.

How is it calculated?

80% of net prior-year IRC if turnover up to 500,000€, otherwise 95%. Three equal instalments.

Who is exempt?

First-year companies, IRC-exempt entities, and those with prior-year net assessment ≤ 200€.

Can I skip the third instalment?

Yes, with risk of compensatory interest if estimate falls short by more than 20%.

Key Takeaways

  • Know deadlines: July, September & Dec 15th are critical for PPC.
  • Calculate accurately: Use 80% or 95% of prior net IRC assessment.
  • Evaluate 3rd instalment: Suspend cautiously to avoid compensatory interest.
  • PPC exemptions: New companies or net assessment ≤ 200€ are exempt.
  • PPC is not PEC: Special Payment on Account (PEC) was revoked.

FAQ

What are the deadlines for IRC Payments on Account (PPC) in 2026?

The deadlines are July 31st (1st instalment), September 30th (2nd instalment), and December 15th (3rd instalment) of 2026. Mark these key dates for your company's tax compliance.

How is the IRC Payment on Account value calculated?

It is calculated by applying 80% of the prior year's net IRC assessment if turnover is up to 500,000€, or 95% if higher. The total amount is then divided into three equal instalments.

Who is exempt from making IRC Payments on Account?

Exemptions apply to companies in their first year of activity, IRC-exempt entities, and companies whose prior-year net IRC assessment did not exceed 200€.

Can I limit or suspend the 3rd instalment of the Payment on Account?

Yes, you can if you estimate that the tax already paid covers the IRC due. However, if your estimate is more than 20% short, compensatory interest will be applied to the difference.

What is IRC Payment on Account and how does it differ from PEC?

The Payment on Account (PPC) is an advance payment of the annual IRC. It is not the same as the Special Payment on Account (PEC), which has been revoked; PPC is a different tax prepayment mechanism.