{"id":9492,"date":"2023-11-30T17:48:34","date_gmt":"2023-11-30T17:48:34","guid":{"rendered":"https:\/\/seegman.com\/end-of-the-portuguese-non-habitual-residents-regime-rnh\/"},"modified":"2025-02-11T23:05:21","modified_gmt":"2025-02-11T23:05:21","slug":"end-of-the-portuguese-non-habitual-residents-regime-rnh","status":"publish","type":"post","link":"https:\/\/seegman.com\/en\/end-of-the-portuguese-non-habitual-residents-regime-rnh\/","title":{"rendered":"End of the Portuguese Non-Habitual Residents Regime (“RNH”)"},"content":{"rendered":"\t\t
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End of the Portuguese Non-Habitual Residents Regime (“RNH”)<\/h1>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t
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On the November 29th, 2023, the Portuguese Parliament have approved the Portuguese Budget Bill for 2024 (the \u201cBudget 2024\u201d). After one and a half month of discussions and a lot of uncertainty, it was confirmed that the current special tax regime for Non-Habitual Residents (the \u201cNHR\u201d) will have some relevant changes. To clarify, we will summarize what is in force for those who will apply for the NHR until the end of this year and what changes from the January 1st , 2024 onwards.<\/em><\/h5>\n

For taxpayers already under the NHR regime and for that will be able to apply for the NHR until December 31st, 2023, they will benefit from the scheme until the end of their 10-year period.<\/p>\n

For those wishing to access to the current NHR after December 31st, 2023, the Budget 2024 have introduced some requirements. In particular, it will be necessary to assess whether they meet any of the grandfathering provisions detailed below:<\/p>\n

1. To have a procedure for the granting of a residence visa or residence authorization before December 31st, 2023, in accordance with the applicable legislation on foreigners; or<\/p>\n

2. To possess a residence visa or a residence permit valid until December 31st, 2023; or<\/p>\n

3. To have an employment contract, promise or secondment agreement before December 31st, 2023, whose functions are performed in the Portuguese territory; or
\n4. To have a lease or other contract granting the use or possession of real estate in Portuguese territory before October 10th, 2023; or<\/p>\n

5. To have a reservation contract or promise of acquisition of real estate rights in Portuguese territory before October 10th, 2023; or<\/p>\n

6. To have dependents enrolled in an educational institution domiciled in Portuguese territory before October 10th, 2023.<\/p>\n

The Budget 2024 also establishes a new regime that will apply for new foreigners that wish to move to Portugal that do not meet the requirement abovementioned.<\/p>\n

With respect to this new regime, it will also apply for 10 years and will be available to those who become tax residents in Portugal, without having resided in the country in the past 5 years. These individuals, in addition to benefiting from a 20% tax rate on professional income earned in Portugal, will be eligible for an exemption on various categories of foreign-source income, such as employment income, dividends, capital gains, real estate income and interest, provided that certain requirements are met, such as employment in start-up companies, dedication to research and development, or performance of qualified work recognized by the Portuguese government, among others.<\/p>\n

It is crucial to highlight that in Portugal the absence of taxes such as Wealth Tax, Large Fortunes Tax and Inheritance and Gift Tax between parents and children will continue. In addition, the favorable tax regime for cryptocurrency investors will also be maintained.<\/p>\n

In summary<\/strong><\/p>\n

Those with dynamism can make strategic decisions before the end of the year to take advantage of tax benefits in future years. In any case, it seems that Portugal will continue to be an attractive destination to settle after 2024.<\/p>\n

This article contains information of a general nature and cannot be considered as legal advice. Consequently, any action taken on the basis of this article must be preceded by the corresponding professional advice.<\/h6>\n\t\t\t\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t
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More Technical Articles<\/h2>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t<\/section>\n\t\t\t\t<\/div>\n\t\t","protected":false},"excerpt":{"rendered":"

On the November 29th, 2023, the Portuguese Parliament have approved the Portuguese Budget Bill for 2024 (the \u201cBudget 2024\u201d). After one and a half month of discussions and a lot of uncertainty, it was confirmed that the current special tax regime for Non-Habitual Residents (the \u201cNHR\u201d) will have some relevant changes. To clarify, we will […]<\/p>\n","protected":false},"author":2,"featured_media":9485,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"elementor_header_footer","format":"standard","meta":{"footnotes":""},"categories":[99,79,101,103,102],"tags":[87],"class_list":["post-9492","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-all","category-article","category-business-law","category-global-mobility-services","category-tax","tag-article"],"yoast_head":"\nEnd of the Portuguese Non-Habitual Residents Regime ("RNH")<\/title>\n<meta name=\"description\" content=\"On the November 29th, 2023, the Portuguese Parliament have approved the Portuguese Budget Bill for 2024 (the \u201cBudget 2024\u201d).\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" 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