How the 2026 State Budget affects SMEs

The State Budget for 2026 introduces a set of measures that will have a direct impact on the activity of Small and Medium-sized Enterprises (SMEs). In an economic context marked by global uncertainties, inflationary pressures and the need for modernization, understanding these changes is essential for entrepreneurs to be able to rigorously plan and anticipate challenges.

1. Tax changes with immediate impact

SMEs continue to be one of the pillars of the Portuguese economy and, therefore, several tax measures have been designed to alleviate costs and encourage investment. Among the most relevant points are:

• Reduction of the general corporate income tax rate to 19% in 2026 (down from 20% previously).
• Reduced rate of 15% for SMEs on the first €50,000 of taxable income.
• Enhanced tax benefits for companies that reinvest profits in innovation, digitalisation or international expansion, with increases of up to 30% in certain regimes.
• Incentives for the hiring of qualified young people and the long-term unemployed, with temporary reductions in social contributions.
• Update of the autonomous tax brackets, alleviating burdens for companies with less financial capacity.

These measures aim to increase competitiveness and support economic recovery, although they require stricter management to ensure compliance with the new rules.

2. Incentives for digitalisation and energy transition

The 2026 State Budget reinforces the commitment to the modernization of the business fabric, with support programs aimed at accelerating digital transformation and energy efficiency:

• Specific funding lines, with allocations of more than €200 million, for the adoption of digital technologies (ERP, automation, cybersecurity).
• Support for the green transition, including incentives for the installation of solar panels, improving energy efficiency and reducing the carbon footprint.
• Tax increases for sustainable investments, with deductions that can reach up to 120% of the amount invested in green projects.

These initiatives seek to prepare SMEs for an increasingly demanding and competitive market, where innovation is crucial.

3. Measures to support employment and training

The State Budget also reinforces policies for qualification and stability in employment:

• It has co-financed vocational training programs, focused on digital skills, management and emerging technologies.
• Hiring incentives in strategic sectors, including reductions in social contributions during the first 12 months of the contract.
• Support for professional reskilling, allowing companies to adapt teams to new technological needs.

These measures aim to increase productivity and reduce the shortage of skilled labour.

4. Administrative simplification and reduction of bureaucracy

One of the commitments of the 2026 State Budget is to make the business environment simpler and more efficient:

• Digitalization of tax and administrative processes, reducing deadlines and costs.
• Creation of a one-stop shop for SMEs, centralisation of information and requests for support.
• Review of reporting obligations, including:

• Exemption of valued inventories for periods starting in 2025/2026.
• Mandatory SAFT submission (accounting) only from 2028, referring to the 2027 tax year.

Simplification is seen as a critical factor in freeing up time and resources, allowing businesses to focus on growth.

5. Financing and capitalization of companies

Access to finance remains one of the biggest challenges for SMEs. The 2026 State Budget includes:

• New credit lines with public guarantee, with envelopes of more than 1,000 million euros for investment and treasury.
• Capitalization incentives, with tax benefits for companies that strengthen their own capital.
• Support for entrepreneurship, through funds for startups and innovation, including co-investment instruments.

These measures seek to strengthen the financial resilience of businesses and reduce reliance on traditional bank credit.

If you want to ensure that your SME makes the most of the opportunities of the 2026 State Budget, from tax benefits to process optimization, ValuingTools can help. In addition to simplifying management, we provide business valuation tools that allow you to know the true value of your business, support strategic decisions, and prepare for the future with confidence. Find out how we can support your company’s growth and appreciation.