Decree-Law No. 167/2026: New cultural patronage regime

Decree-Law No. 167/2026 of 17 August amends the Portuguese Tax Benefits Statute and creates the National Patronage Platform. The new regime aims to simplify access to cultural patronage and broaden the range of beneficiaries by awarding “cultural entity” and “cultural initiative” status to entities, projects and individuals that meet the statutory requirements.

For patrons, donations made under the cultural patronage regime will, as a rule, be treated as expenses or losses at 140% of their value, up to a limit of 1% of turnover or services rendered. This uplift increases to 150% under multiannual agreements that set the beneficiary entities’ objectives and the amounts to be granted. The Decree-Law also clarifies which benefits provided in return do not prevent a contribution from qualifying as a donation, including benefits in kind whose annual value does not exceed 5% of the donations granted.

Applications for recognition and the registration of beneficiaries will be processed through the new National Patronage Platform. Recognised entities and initiatives will be included in a public list published on the Portuguese Tax Authority’s website. Until the Platform becomes available, applications must be submitted to the Office for Strategy, Planning and Cultural Assessment.

The Decree-Law entered into force on 18 August 2026. Cultural entities, initiative promoters and prospective patrons should therefore assess their position under the new regime, including the recognition requirements, applicable tax limits, and obligations concerning the registration and monitoring of donations.

For further information, please contact us at jcg@ccsllegal.com

[Photo by: Zaur Giyasov, available at unsplash.com]