The TAX FREE
for Non-Habitual Residents PORTUGAL
Retirees or pensioners who desire to establish their habitual residence for tax purposes in
will benefit from a TAX EXEMPTION for a PERIOD of TEN ( 10 ) YEARS. Portugal
Who is Eligible?
One must not have been a resident taxpayer in
Portugal for at least 5 years prior to the application for the regime.
To Qualify for a Non-Habitual Residents ( NHR ) you must
Spend more than 183 days in Portuguese territory, own a home that qualifies as a habitual residence in Portugal on the 31st December of the relevant tax year ( regardless of the number of days effectively spent in Portugal.
The benefits provided in the NHR range from a full exemption on certain types of income and a reduced tax rate of 23.5% on other types of income. Tax authorities will confirm that the individual is eligible and may claim the benefits of the regime. This option maybe advisable in regard to more complex investments structures.
The NHR is a straightforward procedure, but a case by case analysis is required to understand :
A. If the applicant meets all the requirements.
B. An analysis of the scope of the benefits granted.