Taxes in Portugal after D8: What to Check before Moving
Why D8 does not determine the tax outcome and what to calculate before becoming resident in Portugal.
This article provides general information. The result for an individual depends on their family, professional and financial circumstances and on the rules in force.
Residence status and tax residence
Immigration residence and tax residence are separate. Tax residence may arise through time spent in Portugal, the availability of a habitual home and the circumstances of the move.
Income from all countries
Portuguese tax residents generally report Portuguese and foreign income, including employment, professional income, dividends, interest, rent and capital gains, subject to applicable treaties.
IFICI is not automatic
The former NHR regime must not be promised to new applicants. IFICI has separate requirements concerning prior residence, qualifying activity, profession and organisation.
Employer and social security
Permanent work from Portugal may create obligations for a foreign employer. Tax and social-security treatment must be reviewed separately.
What to calculate
Model the ordinary personal income-tax position first. Consider IFICI only after eligibility has been confirmed, and include social-security contributions, investment income and planned disposals.