Non-Habitual Resident

Portugal recognizes the non-regular resident status since the decree-law of 23rd September 2009. This new regime aims to achieve non-residents that establish a permanent residence in Portugal, as well as temporary residents. This regime allows non-regular residents to benefit from a special tax rate on some of their income in Portugal, as well as tax exemptions on foreign source incomes.

Advantages

• Exemption from taxation in Portugal of foreign-source income from employment or pensions.
• 20% tax on income obtained from value-added activities in Portugal (company directors, engineers, architects, doctors, and many others).
• Enjoyment of the advantage for a period of 10 years.

Requirements

• Having not been a (tax) resident in the last five years.
• Register as a tax resident (personal income tax) in Portugal, on the local tax office and apply for the non-regular resident status.
• To qualify for this application, you must have remained in Portugal for more than 183 consecutive or non-consecutive days. If you have remained for less time, you must prove your intent to stay by acquiring a home.