Impending Changes: NHR Tax Regime Set to End
In a startling revelation on a television broadcasted interview, Portugal's Prime Minister has declared the discontinuation of the NHR tax regime for new entrants beginning in 2024. Although an official government position is yet to be established, the decision seems to be irrevocable.
To better understand the specifics of this change, we can expect more information next week when the Budget Law proposal is presented to the Portuguese Parliament.
Considering these new developments, it is recommended the following actions:
- Individuals already residing in Portugal (non-EU citizens with a residence permit, Ukrainian nationals under temporary protection, and EU citizens) should apply for Portuguese tax resident status and the NHR tax regime before the end of this year.
- Those planning to move to Portugal (EU citizens or non-EU citizens with a visa appointment at their local embassy) should reconsider their plans and ensure they can complete all necessary steps before the end of the year. This will help avoid any uncertainty regarding eligibility for the NHR status.
In light of the Prime Minister's unexpected announcement regarding the NHR tax regime, swift action is imperative. The forthcoming Budget Law proposal will shed more light on this issue. For now, we urge everyone affected to act promptly to secure their eligibility for the NHR status.
Should you have any further inquiries regarding this matter, please do not hesitate to reach out. We are delighted to offer our assistance and support.
