With effect from 1st May 2019, Abacus will assist clients who wish to become residents of Portugal under the Non-Habitual Residency regime. Anyone who has not been Portuguese resident in the previous five years and has residential accommodation (rented or bought in Portugal) can apply for the status. The regime is designed to attract high net worth individuals to Portugal. The regime is for 10 years and the individuals must be resident in Portugal for a minimum of 183 days per year.
Tax advantages – foreign sourced income such as pensions, dividends, interest and royalties are tax free. We are witnessing a surge in the number of expatriates looking to move from UK/Spain to Portugal to take advantage of this regime. On occasions, a Malta company may be required to provide consultancy services which may reduce the tax payable of 5-10%.
In addition, the NHR status allows income from employment and independent personal services to be limited to 20% (rather than up to 53%). This applies if the income derives from listed high value added activities, examples being a doctor, a university professor, an auditor or an architect.

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