The National Association of Spirits Companies (ANEBE) expressed its satisfaction with the Government's decision to maintain, for the second consecutive year, the freeze on the Alcohol and Alcoholic Beverages Tax (IABA) rate, as foreseen in the proposed State Budget for 2026.

In a statement, the association considers that the measure “ confirms the effectiveness of the fiscal stability policy adopted in 2025 and reflects the good results obtained in terms of tax revenue ,” emphasizing that this is “ a responsible and coherent decision .”

“The State has understood the importance of a balanced and predictable tax system. The spirits sector is committed to continuing to contribute to the Portuguese economy, exports, and the promotion of responsible consumption ,” says João Vargas, Secretary-General of ANEBE.

Fiscal stability translates into more revenue.

The decision continues the fiscal stability policy initiated in 2025, after the Government decided to halt further increases in the IABA (Tax on Alcoholic Beverages). According to ANEBE (National Association of Business Establishments), this strategy has proven effective: tax revenue increased by €8 million up to August 2025, compared to the same period of the previous year, without any tax increase, according to the EY Portugal Shadow Forecast released in September.

The association points out that the scenario was very different in 2024, when the largest ever increase in the tax on alcoholic beverages (+10%) paradoxically resulted in a drop in tax revenue, due to consumers migrating to lower-priced categories.

The results show that " not raising taxes is, in fact, an investment by the State ," emphasizes ANEBE, adding that fiscal moderation " has allowed us to combat illicit consumption, protect employment, support national production, and strengthen tax collection ." These are arguments the Association has championed in recent years.

The measure maintains support for Medronho (a type of strawberry tree fruit) and encourages business competitiveness.

The State Budget for 2026 also maintains the reduction of the Special Consumption Tax (IEC) for Medronho brandy, a category with Protected Geographical Indication (PGI) that has great economic and cultural importance in the Southwest Alentejo, Algarve and Serra da Estrela regions.

ANEBE considers this measure " essential to combat illicit production and trade" and to promote the "economic sustainability of rural regions ."

In parallel, the document also foresees a one percentage point reduction in the corporate income tax rate, a measure that the association describes as " positive for investment and for the competitiveness of Portuguese companies ".

With the proposed State Budget for 2026, the Government is thus reinforcing its commitment to moderate and predictable taxation, a policy that, according to ANEBE, “has proven to be the right way to guarantee growth, stability and revenue ”.