A reduction in income tax can affect the amount you take home, even if your gross salary remains unchanged.

In 2026, a new reduction in income tax rates was approved for income brackets up to the 6th bracket, with retroactive effect from January and an expected impact on withholding tax from November.

In other words: your gross salary does not change, but less tax may be withheld, increasing your net pay.

Understand how the new rules may affect your income.

This information is of a general and abstract nature. Therefore, any decisions regarding these matters should be made with the support of qualified professionals and assessed on a case-by-case basis. Should you require further clarification on this topic, please contact us at soc.advogados@magnaadvogados.pt.