Portugal faces a serious cultural deficit regarding timely payments. A study by Informa D&B with 300 companies revealed that, in May 2025, only 20% complied with agreed payment deadlines with suppliers, placing the country among the five most delayed in Europe OCC+7OCC+7OCC+7.
📌 What the OCC Advocates
During the “Timely Payment Commitment” conference, promoted in Lisbon on July 4, 2025, in partnership with ACEGE, CIP, IAPMEI, and APIFARMA, the President of the Order of Certified Accountants (OCC), Paula Franco, emphasized that “those who pay on time should receive tax incentives” OCC. According to the President:
“Paying on time is one of the factors that brings the most productivity and sustainability to companies.” OCC
The event gathered entrepreneurs, municipal officials, and certified accountants, including Filipe Anacoreta Correia, Vice-President of the Lisbon City Council, and PatrÃcia Melo e Liz, President of ACEGE, all unanimous on the need to change the payment culture in both the public and private sectors OCC+8OCC+8OCC+8.
🌱 Benefits of Timely Payments
- Improved financial sustainability for companies Prolonged delays affect suppliers’ and workers’ cash flow, generate uncertainty, and lead to higher operating costs.
- Strengthening the business ecosystem Timely payments build trust and make the national economy more resilient and competitive OCC+1OCC+1.
- Reduction of hidden debt As the President of CIP warned, many companies resort to loans from suppliers – a costly and potentially harmful practice.
💡 Proposal: Concrete Tax Incentives
The OCC advocates for the introduction of a tax incentive scheme to reward companies that prove timely payments, as a way to “change the mindset” culturally and foster more efficient practices OCC+8OCC+8OCC+8.
✅ The Next Step
- Adhere to the Timely Payment Commitment, a recognized seal of good practices.
- Integrate systems like TOConline, which alerts for potential delays and helps with treasury management OCC+4OCC+4OCC+4.
- Demand responsibility from public institutions in meeting deadlines.
Conclusion
Incentivizing timely payments through tax benefits can profoundly transform the Portuguese business fabric, promoting a culture of trust, sustainability, and competitiveness. This initiative not only rewards those who comply but also creates a fairer and more efficient market – an objective aligned with your company’s mission, FA Accounting, to support good financial practices.
If you wish to implement these strategies or need assistance with certification processes and adherence to good practices, FA Accounting can provide specialized support. Contact us to learn more!
Source: OCC – “Tax incentives for those who pay on time,” July 4, 2025
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