The status of non-habitual resident in Portugal

Portugal can be a very attractive destination for foreigners who want to buy house. From a special tax regime for non-habitual residents to the Golden Visa program, there are many incentives and reasons to buy a house in Portugal.

How does the Non-Habitual Residents scheme work?

The status of non-habitual resident in Portugal confers tax advantages for those who establish their tax residence in the country. To be recognised as an unusual resident , it is necessary to meet some conditions and carry out an application process.

First of all, non-habitual resident status may be requested by anyone who meets the following requirements:

1. Be a foreign citizen or Portuguese.
2. You have had tax residence outside Portugal in the five years prior to the application.
3. Please set up your tax residence in Portugal.
4. Have high added value training or professional experience.

The application for registration as a non-habitual resident should only be made after registration as a resident in Portuguese (if it has not already been made).

Thus, the first step towards becoming an unusual resident may first be able to apply for the issue of a Portuguese (if not).

By completing the address, this will classify you as a resident or non-resident in Portugal and to benefit from the status of non-habitual resident, you will need to change your situation as a tax resident.

If you already have nif Portuguese non-resident, you will need to change the tax address to be a tax resident in Portugal. Only then will you be able to continue with the registration and application for non-habitual resident status.

In terms of form and deadline, the request can be made electronically on the finance portal or through a physical application until March 31 of each fiscal year.

To be considered a resident you must stay in Portugal for 183 days (non-consecutive) or, alternatively, prove that you have your own house that serves as the main dwelling.

Non-habitual resident status entitles to tax benefits for ten years, provided that during each of these ten years he is always considered a resident citizen. During this period, non-habitual residents benefit from the following tax advantages:

• Rate of 20% IRS on income from dependent and independent work if resulting from a profession of high added value, with a scientific, artistic or technical character;
• 10% IRS rate on pension income for those enrolled after March 31, 2020;
• Income from work which does not result from the exercise of a high-value activity and income from other categories is taxed in accordance with the general rules of the IRS;
• Income is subject to withholding tax at the rate of 20%."

In this sense, in the event that they are not enrolled in Social Security, non-habitual residents should be holders of health insurance valid in national territory, which guarantees protection in health and accidents or, alternatively, to have the European health card, in the case of European citizens, in order to be properly protected in the event of illness or accident, in the national territory.

Return to Portugal through the RNH Regime for Emigrants

Although this regime is particularly important for migrants wishing to return to Portugal, it seems to remain largely unknown among our migrant community. In 2016, there were about 10,684 RNH in Portugal, although the overwhelming majority were foreign.

👉👉 Return to Portugal through the RNH Regime for Emigrants (ourhomeportugal.com)

If you are not a resident and are thinking of buying a house in Portugal, then why not take the first step!?

There is no upright cost or commitment. 

👉👉  Let's keep in touch. (ourhomeportugal.com)

O regime fiscal para o residente não habitual em sede de IRS foi introduzido peloDecreto-Lei n.º 249/2009, de 23 de setembro. 2 - Ofício-circulado n.º 20243/2022, de 30/06 

Residente não habitual (RNH) _ Regime fiscal e anexo L do IRS (portaldasfinancas.gov.pt)