Decision · 2026

Simplified regime vs organized accounting

Two IRS regimes for Category B. One has no overhead and a flat deduction; the other lets you deduct real expenses but requires an OCC accountant.

Last verified:

Simplified coefficients (by activity)

Under the simplified regime, taxable income = revenue × (1 − coefficient). The coefficient is the flat-rate "deduction" assumed without evidence.

ActivityCoefficient (taxable %)
general75%
consulting75%
commerce15%
services75%
hospitality15%
agriculture10%

Break-even math

Simplified assumes 25% of revenue is expenses (services category: 75% taxable). If your REAL expenses exceed 25%, organized accounting saves money. If below, simplified wins (especially given the accountant cost of €60-200/mo).

Test both in the calculator →

Fontes primárias / Primary sources

Relacionado

Get the Portugal expat tax checklist

Free PDF. Annual refresh. No spam — unsubscribe anytime.