Is one of the best destinations for golf aficionados where between November and April, the average temperature varies between 14° and 22° right in the middle of winter.

It delivers a variety of landscapes from north to south. Portugal offers stunning beaches, mountains, cities, rolling hills in the countryside. All around, its inhabitants are warm and welcoming. A good point to note is that many would speak some English in the main cities or towns.

Its local cuisine and gastronomy are tasty and vary from region to region. With Mediterranean influence and due to its culture and its geographical position, the basis of gastronomy is healthy and includes olive oil, fish, fresh fruits and vegetables.

Its wine culture represents a great heritage with its three major producing regions, the Douro, Bairrada and the Alentejo where many “Grands Crus” won several gold medals internationally. We could of course not forget to mention the world famous Port Wines particularly loved by a British audience.

The historical and architectural heritage is vast, from north to south, with many ex-libris classified as UNESCO World Heritage.

The special tax regime for non-habitual residents was created with the approval of the Investment Tax Code. It is a beneficial tax regime that grants a set of tax exemptions and flat rate taxation for a limited period of 10 years. It was mostly designed to attract expat professionals, retirees and other passive income individuals.

Any citizen who meets the following conditions:

• To be considered, in the tax sense, Portuguese resident, in accordance with the criteria provided for in paragraphs 1 and 2 of art. 16 of the IRS Code (CIRS), the year in which the citizen intends to starts being taxed as a non-habitual resident;
• Not having been considered resident in Portuguese territory in the five years preceding the request for taxation as habitual resident.

When should the citizen apply for registration as a Non-Habitual Resident?

The granting of non-habitual resident status must be preceded by registration as a Portuguese resident at any tax office or directly at the ̋Loja do Cidadão” (Citizen Center).It is therefore necessary to submit the application for registration as a non-habitual resident, when registering as a resident in the Portuguese territory or until March 31, inclusive of the year following that of his transfer of residence to this territory.

What must the citizen do to register as a non-habitual resident (NHR)?

The citizen must request this registration, by addressing to the “Diretor de Serviços de Registo de Contribuintes”, within the aforementioned deadlines.The request, as well as the statement mentioned below and any attached documents may be presented to any Finance Department or “Loja do Cidadão”, or sent by post to the “Direção de Serviços de Registo de Contribuintes, located at Avenida João XXI, no 76, 6.o, 1049-065 Lisboa.”

What statement must they submit when applying for registration as a non-habitual resident?

When requesting registration as a non-habitual resident, the citizen must declare that they do not meet the conditions to be considered a permanent resident in Portuguese territory. They must also verify that they did not meet the necessary conditions at any time in the 5 years preceding the one in which they made the request and from which he wishes taxation as a non-habitual resident to begin, in particular:

• Because they do not not meet any of the conditions provided for in points 1, 2 or 5 of art. 16. CIRS or,
• Due to the application of the convention to avoid double taxation.

What right does a Portuguese citizen obtain as a non-habitual resident obtain?

The citizen considered as non-habitual resident obtains the right to be taxed as such for a period of 10 consecutive years from the year of his registration as resident in Portuguese territory. For this purpose, they must be considered a resident of Portuguese for each of these 10 years.
This 10-year period is not renewable.
It should be noted that the right to be taxed as a non-habitual resident for each of the years of the period mentioned later is not conditioned for that year, considered resident in Portuguese territory.In cases where the citizen had not used the right to be taxed according to the tax system established for non-habitual residents in one or more years of this 10-year period, they can resume the use of the same right in any remaining year of this period, knowing that the citizen is considered a new resident.