Paying your taxes in Portugal in an efficient way
Income tax in Portugal applies to the following:
- Employment income
- Self-employment income
- Income generated from investments
- Capital gains – for example, property sales, shares etc.
- Portuguese pensions and private pensions
- Rental income generated from properties let in Portugal
You should be aware that the rates are different for residents and non-residents.
Expats can take advantage of special tax regimes. The non-habitual resident (NHR) regime in Portugal can reduce tax rates and offer tax exemptions in some cases for up to 10 years.
Residents in Portugal pay an income tax rate of up to 48%. However, those with NHR status pay a flat rate of 20%. NHR also benefits those looking to retire in Portugal, with pensions taxed at the lower rate of 10%.
To qualify for NHR status, you must not have been a tax resident in Portugal within the last five years.
The tax system in Portugal is very different to that of the UK. For this reason, we recommend speaking with one of our experts who can advise you based on your situation.
Our bespoke approach to tax planning will ensure you are as tax-efficient as possible. If you would like to find out more, contact us using the form below.
Why choose Holborn Assets?
Our investment professionals hold a variety of prestigious investment qualifications from recognised professional bodies such as the Chartered Insurance Institute, London Institute of Banking & Finance, Chartered Institute of Securities & Investment and CFA (Chartered Financial Analyst) Institute. We encourage all advisers to keep studying to keep their qualifications relevant and up to date.
Registered and Regulated
We benefit from appropriate regulation in all our geographical areas of operation and have been operating successfully in the field of investments since 1998.
Our strategy is about advising our clients on the investments that are best for their individual needs. We appreciate that it is your money, that you have worked hard for it and want to keep it and see it growing. We don’t believe in taking unnecessary risks. That’s why the portfolios we offer are diversified and our advice is focused on ongoing management and a steady hand over the long term.
History and heritage
Holborn Assets was established in 1998 and is widely considered to be the financial services company of choice in the expatriate market it serves. No other independent company can match our expertise or depth of proposition. We have therefore always felt at home headquartered in Dubai, the world’s fastest growing City State and one of the economic wonders of the world.
Holborn Assets has regulated operations in the UK, Europe, Asia and South Africa. The corporate DNA that has underpinned our growth is simple: we are passionate about helping people put the right money, in the right place, at the right time.
We are a friendly, multi-award winning family company with an international footprint and British values of integrity and respect for all.
You may also be interested in
Estate planning in Portugal can become complicated if expats don't avoid certain mistakes. Read our blog to learn which are these mistakes.Read more
Capital gains tax for UK homeowners in Portugal should be a part of every efficient tax plan. Read our blog to learn how Holborn can help.Read more
Portugal is a top destination for foreign nationals. Here, we look at what expats from the United Arab Emirates need to know before moving to Portugal.Read more