NHR, Last Chance to Benefit from 10 Years of Tax Reductions!

In a recent interview, Portuguese Prime Minister António Costa announced that the country’s Non-Habitual Resident (NHR) tax regime will be abolished for new applicants starting in 2024.

The NHR regime offers a range of tax benefits to non-residents who move to Portugal, including a 10-year exemption on most foreign-sourced income and a reduced tax rate on certain types of employment income.

The Prime Minister’s decision to abolish the NHR regime was reportedly motivated by a number of factors, including concerns that the regime was unfair to Portuguese taxpayers and that it was being exploited by wealthy individuals to avoid paying taxes in their home countries.

Despite the upcoming abolition of the NHR regime, there is still time for potential NHR applicants to benefit from its tax breaks. The regime will remain in effect for existing beneficiaries, and new applicants who submit their applications before the end of 2023 will be eligible for all of the regime’s benefits for a period of 10 years.

For those who are planning to move to Portugal in the short term, the last few weeks of 2023 represent an incredible opportunity to lock in 10 years of tax reductions. The NHR application process is relatively straightforward, and it is possible to complete the entire process in a matter of weeks.

If you have been thinking about moving to Portugal, now is the time to take action. The Non Habitual Resident (NHR) tax regime offers a unique opportunity to save money on taxes and to enjoy the many benefits of living in Portugal.