Unlike EU citizens, non-EU individuals must reside in Portugal to qualify for Permanent Residence in the country. Portugal Golden Visa program allows non-EU citizens to qualify for fast-track permanent residence in lieu of complying with specific investment-related and other requirements.
Portugal Golden Visa program offers multiple investment options for applicants seeking permanent residence in the country. These include:
| Real Estate | €500,000 |
| Capital Transfer | €1,000,000 |
| Job Creation | 10 jobs |
| Property Reconstruction | €350,000 including cost of reconstruction subject to the following conditions:
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| Research and Development | €350,000 subject to the following conditions:
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| Cultural Heritage | €250,000 investments through government bodies, public institutes, or private entities integrated with public foundations in
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| Small and Mid-Cap Companies | €500,000 investments through units of investment funds or PE funds in viable small-cap and mid-cap companies with a capitalization plan. |
Individuals investing in areas with low density of population are eligible for a 20% reduction in the minimum investment limit provided they choose one of these options—job creation, real estate purchase, research and development, or cultural heritage. Investments in real estate reconstruction and small and mid-cap companies will be available to applicants after the decree law is enacted.
For all other investment options, the decision to grant a permanent residence permit or the Golden Visa will be made within 3 months of the date of the application. For renewals, decisions are taken within 60 days.
Other general requirements include:
- Applicant must not suffer from any disqualification that, if known, would render him or her ineligible for the Golden Visa.
- The applicant must have a home, adequate means of subsistence, a clean character, and a valid Schengen visa to qualify for the Golden Visa.
- The applicant must not have been convicted of a crime punishable by imprisonment of more than a year.
- Applicant should not have been deported from Portugal, or be subject of an alert when entering into the EU or Portugal.
- The applicant must be present in Portugal when applying and must legalize his or her stay within 90 days of the entry.
Along with the Golden Visa, Portugal offers high-net worth pensioners and expatriates with the additional advantage of a liberal tax regime. The non-habitual tax regime is available to EU as well as non-EU individuals.
Benefits of the Non-Habitual Tax Regime
- It is available to those who have not been taxed as a resident in Portugal for at least five years prior to registration as a non-habitual resident.
- Flat tax rate of 20% on employment income in Portugal
- Flat tax rate of 20% on business income arising out of high added value activities. The tax regime has a broad and liberal definition of high added value activities.
- Levy of a personal income tax surcharge of 3.5% from 2015 onwards.
- Foreign income will be eligible for progressive exemptions provided the country in which the income is earned can tax the income under a DTAA with Portugal or under the OECD Model Convention covering business income, property income, capital gains, and passive incomes.
- Treaty benefits will help those opting for this regime to avoid Portuguese tax liability on foreign pensions and reduced tax liability payable to the country in which the income is earned.
- Golden Visa applicants can obtain the status of a non-habitual resident during the application process to enjoy reduced tax liability after becoming a permanent resident.
The procedure to become a non-habitual tax resident involves:
- Registering with the tax authorities as a non-habitual resident.
- Declaring that the applicant has not been a resident taxpayer in the country for at least five years prior to the registration.
- Submission of annual declaration to tax authorities to enjoy the tax benefits applicable to income earned in Portugal and in foreign countries.
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