Non-habitual resident incentive taxes

Convenient tax system for those settling in Portugal, the Non-Habitual Resident statute:

An extremely attractive tax system has been introduced in January 2013, the NHR (Non Habitual Residence).

1. What are the advantages, tax wise? It consists mainly of:

• An income tax rate of just 20% for professions classified as strategic (by the government).

or

• 0% tax rate (tax exemption) on retirement pensions received from abroad, for those settling in Portugal.

2. Who can benefit from the NHR statute?

• Who settles in Portugal and has had a non-resident status over the last five years.
• Who has retired.
• Certain professions considered as strategic and of high added value.

3. How to apply for the NHR statue?

Look for a tax office and request a fiscal identity number under the NHR statute.

4. How long will the statute last?

The NHR statute will be active for 10 years.

Additional considerations:

We recommend you to see a tax specialist. HOME IN PORTUGAL works with a network of recognized professionals in this area. Do not hesitate to contact us.

The NHR statute is regulated by the Decreto Lei n. 249/2009, of 23th September, with the amendment of Art. 16. (IRS Code), with the current text being introduced by Lei n. 20/2012, of 14th May.