Introduction

Learn about our NHR program

The Portuguese Non-Habitual Resident program boosts Portugal to become the best retirement haven in Europe. It is also quickly becoming a hotspot for the French, British, German, and Scandinavian professionals looking to benefit from the reduced taxes and tax-free pensions that the program offers.

NHR regime focuses on two sets of people: Retirees that are receiving pensions from overseas and Professionals that are either employed or self-employed, that are willing to receive their income completely tax-free for 10 consecutive years and help the Portuguese economy.

With that in mind, some of the most important advantages of being a non-habitual tax resident in Portugal are:

Benefit from a personal income tax treatment over a 10-year period

Enjoy a tax exemption on almost all foreign source income

20% flat rate for certain Portuguese source incomes (as opposed to normal Portuguese income tax rates of up to 48%)

Become part of a white-listed tax environment within the EU

A tax exemption for gifts of inheritance to direct family members

No wealth tax

Free remittance of funds to Portugal

Also, professions of high cultural and economic worth are given generous tax exemptions under the NHR tax regime, as they are considered to be of added value to Portugal.

The following professions are considered of high added value: Architects, Musicians, Tax consultants, Clinical surgeons, Dentists, Doctors, Computer consultants, Designers, Directors, Engineers, Ship’s doctors, Medical physiatrists, Psychologists, Computer programmers, Investors, Higher management, Geologists, Archaeologists, and Software consultants.

Advantages of the NHR status in Portugal

Most valuable insights to know

No tax of private pensions

If you are in receipt of pension income from a foreign source, it will be exempt from Portuguese income tax regime, if the pensions are subject to tax under an existing double tax treaty or if the pension income is not considered as obtained in Portugal.

10 years with 20% tax on IRS

If you’re an active Manager, Architect, Engineer, Medical Doctor, Dentist or have another high-value profession, and choose to live and work in Portugal, you’ll receive a fixed 20% taxation on tax regime for the period of 10 consecutive years.

Absence of Double taxation

Since most double tax treaties give exclusive taxation rights to the country of residence in effect your pension, dependant or independent income could theoretically end up being tax-exempt in Portugal.

Living in Portugal

You get to live in one of the most peaceful countries in the world and the Best European Destination since 2015.
A country where the sun shines for three quarters of the year, with great beaches, mountains and golden plains. As well as vibrant cities and plenty of history to revisit.

No tax of private pensions

10 years with 20% tax on IRS

Absence of Double taxation

Living in Portugal

You get to live in one of the most peaceful countries in the world and the Best European Destination since 2015. <br>A country where the sun shines for three quarters of the year, with great beaches, mountains and golden plains. As well as vibrant cities and plenty of history to revisit.

Advantages of the Non-Habitual Resident Programme, with David Poston - Co-founder & CEO

How to qualify for NHR

Most valuable insights to know

1. Residency

In order to start renting, the property needs to have a short-term renting license associated with it. To do so, the application needs to be submitted to the City Hall, with the right documentation, including a specific communication to the Portuguese Finance department declaring the short-term renting business. Usually, this process can take one to two weeks to be put in place and successfully receive an AL Code.

Proceed to the requirements of the short-term renting according to the Portuguese Law
Set up multi-risk insurance, which we set up with our partner insurance companies;
Install the Safety Kit equipment, for which we are also in contact with the direct suppliers of that equipment;
Set up the utility services (water, electricity, gas)
Set up Internet and TV pack.

2. Register in Local Tax Office

Proceed to the requirements of the short-term renting according to the Portuguese Law
Set up multi-risk insurance, which we set up with our partner insurance companies;
Install the Safety Kit equipment, for which we are also in contact with the direct suppliers of that equipment;
Set up the utility services (water, electricity, gas)
Set up Internet and TV pack.

3. Request Enrolment as Non-Habitual Resident

Proceed to the requirements of the short-term renting according to the Portuguese Law
Set up multi-risk insurance, which we set up with our partner insurance companies;
Install the Safety Kit equipment, for which we are also in contact with the direct suppliers of that equipment;
Set up the utility services (water, electricity, gas)
Set up Internet and TV pack.

Buy Property with Portugal Homes

Don't let your dream property go away

Portugal Homes has very experienced and knowledgeable professionals working with some of the most established and reputable developers Portugal has to offer. Our vast experience allows us to guide you through the best investment choices.

Whether you want a holiday home or an investment property, we select the best units for your profile and take care of all the process from start to finish. Even after the sale! Our After Sales services assume the responsibility of furnishing your property at your taste, taking care of the property in your absence, managing the rentals if you wish to rent your property when you’re not in Portugal and so much more!

To learn more about the Portuguese Non-Habitual Resident Program and our After Sales services, please fill the form below.

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Tudo o que precisa de saber sobre o programa NHR