Fuel stations in Portugal to show how much tax reduction saves per litre

Under a new Government requirement for petrol stations in Portugal, drivers will soon be able to see how much they are saving in fuel taxes every time they fill up.

By Kate Sreenarong, in News, Economy · 07 Oct 2026, 17:04 · 0 Comments

As reported by Executive Digest, fuel retailers will have to display the per-litre reduction resulting from lower rates of the Petroleum Products Tax (ISP) and the corresponding VAT.

This information must appear either next to the fuel pumps or directly on the dispensing equipment.

The new rules come from a decree-law published by the Government and will take effect 10 days after its publication.

Furthermore, the amount must be clearly identified with the wording “Redução ISP+IVA” and will have to be displayed for every petroleum-derived fuel sold at each station.

Savings calculation

The figure shown to motorists will represent the difference between two tax amounts.

The first is the amount of ISP that would be charged per litre using the reference rate established under Portaria No. 301 A/2018, of 23 November, together with VAT at the applicable legal rate.

The second is the amount of ISP actually being charged per litre under the rate in force at the time, again including VAT.

The difference between the two amounts will be the figure displayed at the petrol station, giving consumers a direct indication of the tax reduction applied to their fuel.

Petrol stations will not be free to choose whether or where to provide it, with the decree law requiring the figure to be placed in a clearly visible position beside the pumps or on the equipment itself.

The calculation will be specific to each type of fuel sold, which means the amount displayed can vary depending on the product.

Compliance fines

Petrol stations that fail to comply with the new requirement could face fines ranging from €1,000 to €3,000.

The same penalties can apply where the information displayed is false, inaccurate or out of date, meaning operators will be responsible for ensuring that the figures shown to customers reflect the rates currently in force.

This obligation will begin 10 days after the decree law is published.

The measure forms part of a wider package of temporary and exceptional Government support aimed at helping different sectors of the economy deal with higher fuel costs.

The Government is seeking to make the effect of the current ISP and VAT measures more visible to motorists by requiring tax reduction to be displayed at the point of purchase.