In order to become a Portuguese Tax Resident, you need to spend 183 days in Portugal. Does that mean 183 days in one stretch or is that spread over one year whereby we could travel in and out of Portugal?
Also for how many years does one need to maintain the 183 days per annum residency in Portugal?
In order to be considered a tax resident in Portugal you need to spend 183 days in Portugal (in total throughout the year) or be an habitual resident in Portugal i.e. treat Portugal as your main address worldwide.
The NHR tax programme is valid for 10 year, this said, you must be considered a tax resident within those 10 years.
Answer supplied supplied on 20th October 2020 by Chamber member Edge International, email@example.com
Do we all need a Fiscal number?
Yes, all of you will need to have a Portuguese Tax Number, because you will be considered tax resident in Portugal.
Answer supplied on 23rd September 2020 by Chamber member Edge International, firstname.lastname@example.org
My husband and I and our children are planning to go and live in Portugal permanently very soon. My husband intends to keep his UK job but obviously would like to receive his salary tax free and then pay tax in Portugal since he will be tax resident there. HMRC in the UK told him he needs to fill out the UK government’s P85 form for double taxation so that he would pay tax in Portugal.
Is doing the double taxation form sufficient or does my husband’s company need to register in Portugal for taxation purposes?
If your husband is moving to work from Portugal, he has to get residence and a fiscal number in Portugal, showing his Portuguese address.
In the UK he fills out the P85, saying he now resides in Portugal.
Once he has done that, he applies for the Non Habitual Tax regime at the Portuguese tax office (or a lawyer can do that for him) and he has to check that his job title/profession is on the list of value added occupations which qualify for the lower NHR tax rates (e.g 20% income tax).
Answer supplied on 19 October 2020 by Chamber member, Michelle Oliveira Pereira, email@example.com