A dispatch issued by the Portuguese Tax and Customs Authority was disclosed regarding the tax treatment of expenses incurred by employees in a teleworking regime, in accordance with the regime provided for in article 168 of the Labor Code, as amended by Law 83/2021.

According to the Authority, only when the expenses are duly proven and determined (namely through the presentation, by the employee, of documentation/invoices proving the increase in comparison with the homologous expenses in the same month of the previous year to the application of the telework regime) will they not be considered income for tax purposes.