According to the Postal newspaper, a common question among those who plan to take a car with foreign registration to Portugal is the legality of this practice. According to Portuguese legislation, it is permitted to drive a vehicle with foreign registration within national territory, if certain conditions are respected.
These conditions, Ekonomista tells us, include:
Not residing in Portugal: The first condition requires that the conductor of the vehicle is not a resident of Portugal.
Relationship with the owner: The driver must be a family member of the owner or holder of the vehicle. Family members therefore are allowed to drive a vehicle with foreign registration in Portugal.
EU registration: The vehicle must have a permanent registration from a European Union (EU) country. Cars with EU license plates are subject to different regulations than vehicles from countries outside the EU.
Limited term: One of the most important conditions is that the vehicle cannot remain in Portugal any longer than 180 days (or 6 months) during a 12-month period. This means that vehicle cannot be used in Portuguese territory for more than half a year each calendar year.
Interpolation of days: The 180-day period does not need to be continuous, it can be interpolated, however, the rule of 6 months per year must not be exceeded.
This limited term of use is important because, as established by article 30 of the Vehicle Tax Code, the vehicle is exempt from paying taxes for a period of 6 months. Any use beyond this period may result in tax obligations.
Liability insurance
When a vehicle is registered in any EU country, it is necessary to take out civil liability insurance, also known as third-party insurance. This insurance is mandatory and covers material or bodily damage caused to third parties, that is, people other than the driver of the vehicle.
It is important to mention that the rules regarding optional car insurance may vary from one insurance company to another and from one country to another. Coverage, temporal and geographic limitations may differ according to the insurer’s policies.
Therefore, it is recommended that you contact your insurance company to obtain specific information about insuring a foreign-registered vehicle in Portugal.
Driving a car with foreign registration in Portugal is legal, if the aforementioned conditions are met. However, it is essential to be aware of time and insurance limitations to avoid any problems or fines in the country.
I have witnessed a large number of UK vehicles that are not only driven by Portuguese Residents that have been here for more than 180 days in an given year, in fact they seem to be here permanently and in some cases areneither taxed or hold valid MOT's. I witnessed a Mercedes that what was registered SORN and MOT expired in 2016. How can they get away with that?
By John from Algarve on 06 Nov 2023, 11:22
One of the pre-conditions you state is that the car must be registered in an EU member state.. Where does that leave all the UK registered cars that drive over?
By Trevor Hodges from Algarve on 06 Nov 2023, 11:59
There are a large number of cars here in Portugal that are registered in other EU countries and driven by residents (of non-Portuguese citizenship) over many years. I have even seen vehicles where the MOT information was falsified.
By Tom from Lisbon on 06 Nov 2023, 18:45
The Schengen Agreement states that there is free movement of people and goods (cars) within the borders of the EC. Portuguese people who work in another EC country also stay in that country for more than 6 months with a Portuguese license plate.....
By Pete from Algarve on 08 Nov 2023, 14:11