by Ana Topircean and Febe Louage
Portugal has long been known as a tax haven for foreigners. This was due to the so-called 'Non-Habitual Residence Regime' (NHR), under which certain foreign income was taxed at a low rate or even completely exempt for 10 years. The recently published budget announced the complete abolition of the regime from 2024.
An exception is made for taxpayers who are eligible for the NHR regime on 31/12/2023. They can continue to enjoy the benefits of the regime if their registration is completed by 31/03/2024.
Taxpayers who have already registered as NHR can continue to benefit from the scheme until the end of the 10-year period.
Are you thinking of moving to Portugal and wondering how this change might affect you? Then contact one of our specialists at firstname.lastname@example.org.
In our opinions, we rely on current legislation, interpretations and legal doctrine. This does not prevent the administration from disputing them or from changing existing interpretations.
Read our latest insights and news releases to stay abreast of changes in your industry.