How to become an official artisan in Portugal: registration, tax benefits and rights

Craft is not only about creativity, but also about the possibility of legal work and the development of your own business. If you are engaged in the production of handmade products, such as knitted decorative items, candle making or ceramics, in Portugal you need to obtain artisan status (artisan) and a special crafting card (Artisan Letter). This opens the door to officially conducting business, selling products, paying taxes, and receiving government support.

How to obtain artisan (artesão) status?

Official registration in the National Register of Craftsmen (Registo Nacional do Artesanato) involves two main steps.

1. Registration in the National Register of Craftsmen

To apply for a craft card, you need to contact:

  • Craft Commissions (Commission for Crafts), which manages the registry.
  • Institute of Employment and Vocational Training (Instituto do Emprego e Formação Profissional, IEFP), which is also accepting applications.

Required documents for application:

✅ Passport or resident card.

✅ Description of your craft activity.

✅ Perhaps samples of your products or photo evidence of your work.

2. Obtaining a Craftsman Card (Carta de Artesão)

If your application is approved, you will be issued Artisan Letter – a document that confirms your status as a craftsman. It gives you the right to engage in this activity legally and enjoy the available benefits.

What are the benefits of a craft card in Portugal?

Once you have obtained the status of artesão, you will be able to:

Sell your products legally at markets, fairs, through stores or online.

Get tax benefits and simplifications for small businesses.

Access to artisan support programs: government grants, training courses and promotional events.

Tax breaks for artisans

Registered artisans can benefit from a number of tax incentives:

1. Simplified Tax System (Regime Simplificado)

  • If the annual income does not exceed 200,000 euros, you can apply simplified mode – tax is calculated as a percentage of turnover.
  • It reduces bureaucracy and simplifies reporting.

2. Exemption from VAT (IVA)

  • If your income is lower 12,500 euros per year, you are exempt from paying value added tax (IVA) (Article 53 of the VAT Code).
  • But at the same time you you cannot reclaim VAT on materials.

3. Social Insurance (Segurança Social)

  • First year exemption from contributions in social insurance.
  • In the future, contributions are calculated proportionally to income.

4. Benefits for exports and international trade

  • If you sell goods outside the EU, your income may be exempt from VAT.

Where to register?

🔹 Online – through the portal IEFP.

🔹 Personally – in IEFP branches or local artisan associations.

What laws regulate artisanal activities in Portugal?

The main legislative act is Decree-Law No. 41/2001 of 9 February 2001It defines the registration rules and legal status of the artesão.

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Obtaining a craft card is an opportunity to work officially, develop your business, participate in government support programs, and receive tax benefits. If you create unique things with your own hands, make your business legal - this will help you expand your audience, increase profits, and avoid possible problems with tax authorities.

We also recommend contacting local artisan associations or accountants to clarify details regarding your specific activity.

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