Portugal ranks highly on the global scale for personal safety and a number of other key factors such as its affordability and relaxed continental lifestyle and culture. English is widely spoken and has long been a popular destination for British nationals to retire to or buy a holiday home to enjoy pleasant summer breaks in a wonderful climate.
Portugal introduced a Golden Visa scheme with a view to attracting foreign nationals to Portugal to bolster the Portuguese economy. The scheme proved to be very successful, resulting in investments worth an estimated €530 million. Unfortunately, the influx of high net worth foreign nationals created a situation in the most popular areas, where the available housing stock was priced out of the reach of the Portuguese.
The Portuguese Government has consequently taken steps to address this issue by changes to the Golden Visa. The new law ("Mais Habitação") was enacted on 8 October 2023 which removed the category of investment in residential real estate purchase to the value of €500,000 from the scheme.
The good news is that the Golden Visa scheme can still be applied for under the remaining categories
Rute Lourenço, an associate, commented "fortunately, the considerable advantages of the Golden Visa scheme and its can still be accessed through the alternative commercial investments route enabling the investor to benefit from the extremely favourable rate of tax." Rute further pointed out "British nationals who had already embarked on the Golden Visa scheme through residential real estate when the new law was enacted are able to complete their application and access the benefits of the scheme."
Giambrone and Partners highly experienced multi-lingual immigration lawyers together with our expert corporate and commercial lawyers can assist with all aspects of an application for a Portuguese Golden visa.
Current Terms of the Portuguese Golden Visa
The Golden Visa scheme can be accessed by the following types of commercial investment:
- An investment of €500,000 in an organisation that specialises in scientific research
- An investment f €250,000 in the maintenance or production of the Portuguese national heritage
- An investment in a business that creates at least ten jobs
- An investment of €500,000 in securities funds
- An investment of €500,000 in an existing company or the creation of a new company that creates or maintains five long term permanent jobs for a minimum period of three years
The residential requirement for a Portuguese Golden Visa is one of the least demanding, requiring only the residence in Portugal of seven days per year.
Requirements for an Application for a Golden Visa
Applicants will require a Portuguese bank account and a taxpayer identification number ("numero de indentificação") known as NIF. An NIF provides personal identification and enables the holder to enter contracts, purchase services and goods in Portugal.
Applicants will need to provide a range of documentation which, if issued by a non-Portuguese authority, must be legalised and translated into Portuguese. by an accredited translator and certified, usually by a notary, which our lawyers can facilitate. The key documentation required:
- Evidence of your qualifying investment
- Confirmation by a Portuguese financial institution that the transfer of funds has taken place
- Proof of acceptable health care in Portugal
- Evidence that you have a clear criminal record issued with three months of your application
- A completed SEF application form
Additional advantages of A Golden Visa
Once the holder of Golden Visa reaches the duration of five years they can apply for Portuguese citizenship. British nationals who are permanently domiciled in Portugal are able to take advantage of:
- Worldwide exemption from income tax
- Income sourced in Portugal, either through direct or self-employment their tax liability is a flat tax of 20%
- They at not liable for is inheritance tax or gift tax
Our expert lawyers will diligently prepare and submit the application on your behalf, guiding and assisting you until your residence permit has been issued.
Giambrone & Partners English-speaking Portuguese Advogados can assist with all legal aspects required to be dealt with arising from your move to Portugal, guiding you through the entire process.
Rute Lourenço specialises in several areas such as immigration; including nationality applications and an extensive range of visas. Her considerable real estate experience is also utilised where clients also wish to purchase property.
Her expertise extends in more than one direction as Rute additionally provides valuable guidance and insight in corporate and commercial non-contentious matters and has extensive experience in drafting complex cross-border contracts, providing protective clauses that offer the maximum safeguards for our clients.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
