IRS Jovem 2026 exempts part of the income of workers up to age 35 from Portuguese income tax for 10 years: 100% in year 1, 75% in years 2-4, 50% in years 5-7 and 25% in years 8-10, capped at €29,542.15/year (55×IAS). Social security still applies. Use the calculator to see your monthly and annual saving.
How IRS Jovem works in 2026
Eligibility — up to 35, not a dependant, category A or B income, no degree requirement.
Duration — 10 benefit years (they need not be consecutive).
Exemption — 100% / 75% / 50% / 25% by benefit year, up to €29,542.15 of annual income.
Withholding — your employer can apply the exemption to monthly pay right away.
Estimate based on the 2026 withholding tables — the final amount is settled in the annual return. New in Portugal? See the IFICI regime and our net salary simulator.
Frequently asked questions
Who qualifies for IRS Jovem in 2026?
Workers up to age 35, not dependants, with category A or B income, during their first 10 years of earnings — no degree requirement.
What are the exemption rates?
100% in year 1, 75% in years 2-4, 50% in years 5-7 and 25% in years 8-10.
What is the cap?
55 times the IAS: €29,542.15 of annual income in 2026. Income above that is taxed normally.
Can it be combined with IFICI?
No — you must choose one regime. Simulate both before deciding.
Does social security still apply?
Yes — the 11% employee contribution is always due; only income tax is exempted.