Low-income individuals exempt from VAT on the purchase of electric cars

Vulnerable families purchasing electric cars will be exempt from VAT under a new government support program. Environment Minister Maria da Graça Carvalho announced this initiative, which is part of the European Climate Social Plan. The program aims to assist low-income families and microenterprises in acquiring electric vehicles, with a focus on combating energy poverty. Families earning below 80% of the median income are eligible, with potential beneficiaries numbering 1.5 million. The support will be provided through vouchers for 100% electric cars, which must be kept for at least three years. The initiative is expected to launch early next year.