In 2024, more than one million taxpayers contributed 37 million euros, bringing the total taxes allocated to these causes in the last decade to almost 250 million.
There is a gesture that, every year, transforms taxes into solidarity. A simple cross on the Personal Income Tax (IRS) declaration — with no additional costs, no impact on the refund or the amount payable — allows you to support social, cultural or humanitarian causes. A small gesture in form, but with a real impact on the lives of thousands of people.
“In 2024, more than one million taxpayers contributed 37 million euros to authorized entities, a value that has grown consistently. Over the course of a decade, the amount contributed now amounts to almost 250 million euros, a number that denotes the solidarity and generosity of the Portuguese”, highlights Ricardo Garcia, general secretary of the Portuguese Center for Foundations.
According to the Tax Authority, in 2024 there were 5274 entities on the list of candidates for the part of tax that taxpayers can consign. You can consult the list here. If you choose an entity that does not meet the requirements and is not on the list, the tax authorities will not deliver the 1%.
The IRS allocation was created in 2001 and initially allowed the allocation of 0.5% of the tax paid to public benefit entities. In November 2024, this mechanism was reinforced, allowing the consignment of 1% of the IRS. A change that doubles the impact of this voluntary gesture, without increasing taxpayer effort.
In a context where trust in institutions is frequently put to the test, the IRS allocation remains a rare point of consensus. It does not cost those who contribute more and guarantees that a part of the taxes is applied directly to causes chosen by citizens. If the allocation is not made, this amount is part of the total collected by the State, which decides where to apply this amount.
To consign, simply consult the list of entities authorized by the Tax Authority and, after choosing the institution to support, fill in table 11 of the Model 3 declaration, indicating the NIF of the chosen entity. In the automatic IRS, the consignment is made in the “Pre-Settlement” area.
What, after all, is the impact on your IRS?
The 1% consignment is calculated on the tax paid — and not on the refund or the amount payable. This means that it does not represent any additional cost to the taxpayer. The amount allocated is always borne by the State.
For example, in a case where the tax paid is 4800 euros and the withholding taxes total 5200 euros, the taxpayer will be entitled to a refund of 400 euros. When paying the IRS, 48 euros (1% of the tax paid) are transferred to the chosen entity, without any change in the value of the taxpayer’s refund.
The same applies to those who have tax to pay. If the tax paid is 7200 euros and the withholdings and payments on account total six thousand euros, the amount to be paid to the State will be 1200 euros. Even so, 72 euros are allocated to the beneficiary entity, without increasing the amount payable by the taxpayer to the State.
In any scenario, the logic is the same: supporting social causes in a simple, transparent way and with no impact on your pocket. A silent gesture that, added to that of thousands of other contributors, has gained expression and made a difference.