MEMBER
LOG IN

Non-Habitual Tax Residents Portugal 

February, 2014 - PLMJ Law Firm

For the Portuguese tax authorities to grant the status of the non-habitual tax resident, it is necessary to meet the following conditions: The applicant cannot have been taxed as tax resident in Portugal in any of the five preceding years;  The applicant must be considered as a tax resident in Portugal and residence in Portugal for tax purposes may be acquired in any year, among other situations, when the taxable person.


a)  Has stayed in Portugal for more than 183 days, whether consecutive or not;

b) Has stayed for less time but has, on 31 December of the same year, a residence in Portugal in conditions that suggest an intention to maintain and occupy it as their habitual residence.


The application to be granted the status of non-habitual tax resident must be lodged with the Portuguese tax authorities on or before 31 March of the year following the one in which the status should take effect. In this respect it must be noted that the status is not granted automatically but depends on the analysis and prior approval of the Portuguese tax authorities. On average, the Portuguese tax authorities take about 6 months to analyse and decide on each case.


ADVANTAGES OF OBTAINING THE STATUS OF NON-HABITUAL TAX RESIDENTS

Once the Portuguese tax authorities recognise the status of non-habitual tax resident is granted, taxpayers in these circumstances acquire the right to be taxed as non-habitual residents for a period of 10 consecutive years. After this period, they will be taxed in accordance with the general personal income tax rules as set out in the Personal Income Tax Code (PIT Code).



MEMBER COMMENTS

WSG Member: Please login to add your comment.

Disclaimer

dots
return to Full Menu dots

Quick Links