Autonomous Region of the Azores – Budget for 2026
30/12/25
In brief
The Regional Legislative Decree No. 27/2025/A, of 30 December, has been published, approving the Budget of the Autonomous Region of the Azores for the year 2026. See the decree here.
The decree now published takes effect on 1 January 2026.
In detail
Among other measures, we highlight:
Corporate Income Tax (CIT) Rate
Maintenance of the CIT rate of 8.75% applicable to companies that carry out, directly and as their main activity, an economic activity of an agricultural, commercial, industrial or service-provision nature, and that qualify as micro, small or medium-sized enterprises.
Tax Benefits
- Deduction from CIT:
- Annual determination of eligible areas for reinvestment of commercial, industrial and agricultural profits.
- The municipality of Praia da Vitória will now benefit from the deduction in the case of reinvestment of commercial, industrial and agricultural profits, under the terms provided for in the applicable regulations.
- Contractual tax benefits: eligibility of investment projects in production units with a value exceeding €1,000,000 and recognised as having clear strategic relevance for the regional economy.
© 2025 PwC. This communication is of an informative nature and intended for general purposes only. It does not address any particular person or entity nor does it relate to any specific situation or circumstance. PricewaterhouseCoopers Tax Services TLS, Lda. We will not accept any responsibility arising from reliance on information hereby transmitted, which is not intended to be a substitute for specific professional business advice.
Contact us
