"Non-Habitual Resident" – NHR is a special tax regime granted for 10 years, ensuring advantages to the beneficiaries in the taxation of the income to be earned.

Under the provisions of this regime, foreign sourced income earned by NHR holders may be exempt or taxed at 10% or 20% flat rates instead of the progressive PIT rates (up to 48%).

This regime aims to attract to Portugal people that were not tax resident in Portugal in the last few years (both emigrants and foreigners).

This article summarizes the main aspects of the  NHR regime, including the taxation of both Portuguese and foreign earned income of the beneficiaries of this status.

To read the full article, please download the file.