Non-Habitual Resident in Portugal.
The Portuguese non-habitual residents program pushes Portugal to become the best retirement haven in Europe. It is also quickly becoming a hotspot for French, British, German and Scandinavian professionals looking to benefit from the reduced taxes and tax-free pension scheme that the program offers.
The NHR regime focuses on two groups of people: pensioners who receive pensions from abroad and professionals who work for others or on their own, who want to receive their income completely tax-free for 10 consecutive years and help the Portuguese economy .
Main advantages of the tax regime for Non-Habitual Residents in Portugal
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Some of the most important advantages of being a non-habitual tax resident in Portugal are:
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Benefit from a personal income tax treatment for a period of 10 years
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Enjoy tax exemption on almost all foreign-sourced income
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Flat rate of 20% for certain Portuguese-sourced income (from specific professions as well as self-employment income), as opposed to normal Portuguese income tax rates of up to 48%
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Become part of an EU whitelisted tax environment
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Tax exemption for donations or inheritances to direct family members
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No wealth tax
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Free money remittance to Portugal
Professions are considered of high value under the tax regime of Portugal NHR.
Professions of high cultural and economic value benefit from generous tax exemptions under the RNH tax regime, as they are considered an asset for Portugal.
Professions of high added value are considered: Architects, Musicians, Tax consultants, Clinical surgeons, Dentists, Doctors, IT consultants, Designers, Directors, Engineers, Ship doctors, Physiatrists, Psychologists, Computer programmers, Investors, Senior management, Geologists, Archaeologists and software consultants.
Professions considered of high value under the tax regime of Portugal NHR.
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No tax on private pensions
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10 years with 20% IRS
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No Double Taxation
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Live in Portugal
How to qualify for NHR
Residence
If you are a citizen of a European Union country, Iceland, Liechtenstein, Norway or Switzerland and stay in Portugal for a period longer than 3 months, you must request a Certificate of Registration from the Municipality of your area of residence. This document formalizes your right to reside in Portugal.
After holding the registration certificate for five consecutive years, you can request a Permanent Residence Certificate from the Foreigners and Borders Service (Serviço de Estrangeiros e Fronteiras).
Register with your local tax office
Register with your local tax office as a tax resident in Portugal. To do so, you must have stayed in Portugal for more than 183 consecutive days, or interpolated days, or have a home in conditions that lead to the assumption that it is intended to be maintained and occupied as your usual residence.
Apply for Registration as a Non-Habitual Resident
Once you are registered with the tax office as a tax resident, you will receive your Portuguese taxpayer card. After issuing the card, you can apply for the Non-Habitual Resident program.
