The client approved the work and now wants the fiscal document. And you’re standing there thinking: recibo verde? Fatura? Fatura-recibo? Fatura simplificada?
The answer is simpler than it looks — and depends on a single question.
The question that solves everything
Is your client an individual (private person) or a company?
That’s all. This question defines everything else.
Individual client (private person)
If your client is João who wants English lessons for his kids, or Maria who needs a website for her wedding, you have two options:
1. Client without a Portuguese NIF
Imagine Ana, a French tourist, wants you to translate some documents. She has no Portuguese NIF. In this case, you issue a fatura simplificada:
- In your billing software, leave the NIF field empty
- Select “Consumidor final” (end consumer)
- The invoice is issued with the “Consumidor final” notation
2. Client with a Portuguese NIF
Pedro wants guitar lessons and has a Portuguese NIF. Here you issue a recibo verde (technically called fatura-recibo):
- Enter his NIF in the system
- Select 0% VAT if you’re exempt
- The software generates the document with all legal data
Company client
Portuguese company
Sofia has a marketing agency in Lisbon and hired you to write copy. You issue a recibo verde with retenção na fonte (withholding tax):
- The company withholds 23% of the value
- You receive 75% of the total
- Example: you invoiced €1,000, you receive €750
- That withholding is an IRS advance — you recover part of it in your annual declaration
EU company
Bruno works for a German startup. Here it’s different:
- You issue a fatura (not a recibo verde)
- You apply reverse charge — 0% VAT
- In the document, you select “Inversão do sujeito passivo” (reverse charge)
- The German company handles VAT in their country
- You need to submit the quarterly Recapitulativa declaration
The most common mistake
Issuing a fatura simplificada to Portuguese companies. Companies always need a document with their NIF. Without it, they can’t deduct the expense — and they’ll ask you to correct it.
Day-to-day examples
The graphic designer:
- Local bakery owner (with NIF) → regular recibo verde
- American tourist (no NIF) → fatura simplificada
- Worten (large retailer) → recibo verde with 23% withholding
- Paris agency → fatura with reverse charge
The translator:
- Mr. António for a job application → recibo verde
- Barcelona company → fatura with reverse charge
- Continente supermarket → recibo verde with withholding
Special cases
Non-EU foreign client? Same rules as EU client — fatura with 0% VAT, but no Recapitulativa declaration needed.
Client won’t give their NIF? Private individuals aren’t required to. Issue a fatura simplificada. Companies always have to provide their NIF.
Invoicing EU companies: Quarterly Recapitulativa declaration (by the 15th of the month following the quarter).
✅ In summary
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Individual without NIF → fatura simplificada | Individual with NIF → recibo verde
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Portuguese company → recibo verde with retenção na fonte | EU company → fatura with reverse charge
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With FIZ the system automatically suggests the right document — enter the client’s NIF and FIZ detects whether they’re a company or individual, selects the document type, and even submits the Recapitulativa declaration when needed.
