Portugal Residency by Investment

About Portugal

As one of the oldest nations in Europe, Portugal boasts a rich historical and architectural heritage with diverse cultures and Mediterranean lifestyles. The charm of Portugal is irresistible, offering exquisite cuisine, stunning beaches, and lush vineyards and landscapes in the countryside. With the highly developed infrastructure and quality education and healthcare systems, the Portuguese Golden visa is one of the most sought out residency programs in the world.

Established in 2012, the residency by investment visa- known as the Golden visa- was set up to attract foreign investment into the country. The Golden Visa is a fast-track residency program where applicants can receive residency within 6 months. Investors can benefit from Portugal´s affordable high standard of living as well as the pro-business fast-developing markets.

Prime Minister:
António Costa

Government:
Semi-presidential constitutional republic

Economy:
Business and manufacturing

Currency:
Euro

Capital City:
Lisbon

Population:
Over 10 million

Language:
Portuguese

Tax system:
Non-residents are only taxed on Portugal-sourced income

Members of:
European Union, European Union, Commonwealth

Benefits

Fast-track
Process

Visa-free access
to Schengen Zone

Attractive
Tax Regime

Low minimum
residency requirements

Family members
are eligible

Mediterranean
lifestyle

High standard of
education and healthcare

Leads to
citizenship Permitted

Live, work and
study in Portugal

Visa-free countries

Applicants can enjoy the right to live, work and study in Portugal as well as enjoy visa-free travel within the Schengen Zone (90 days within a 180 days period).

Austria, Belgium, Czech Republic, Denmark, Estonia, Finland, France, Germany, Greece, Hungary, Iceland, Italy, Latvia, Lithuania, Luxembourg, Malta, Netherlands, Norway, Poland, Portugal, Slovakia, Slovenia, Spain, Sweden, Switzerland, and Liechtenstein. Four of these countries (Iceland, Liechtenstein, Norway, and Switzerland) are not members of the EU but enjoy similar rights under the European Free Trade Association (EFTA).

Eligibility

Applicants proceeding with the residency by investment program must be at least 18 years of age, hold a clean criminal record, and show proof of funds coming from abroad (not sourced within Portugal). Applicants are required to provide personal documentation such as passports, national IDs, birth and marriage certificates as well as proof of investment.

Full Requirements Checklist

Investment Options

Real
Estate

280,000 Euro in a low populated density area, over 30 years old and subject to approved renovation works
350,000 Euro in real estate over 30 years old and subject to approved renovation works
400,000 Euro in real estate in a low populated density area
500,000 Euro in real estate

Capital
Transfer

250,000 Euro in the restoration and maintenance of national and cultural heritage projects
500,000 Euro acquisition of units of investment funds
500,000 Euro for investing in research & development activities
1 million Euros into a Portuguese bank account or approved investment options

Job
Creation

Own company incorporated under Portuguese law with the creation of at least 10 full-time job positions
Own company incorporated under Portuguese law with the capital transfer of 500,000 Euro and with the creation of at least 5 full-time job positions

Important notices:

Residential areas are restricted to designation interior areas such as Madeira and Adores while commercial properties remain unrestricted.

Addtional Fees

Process

1. Speak with one of our advisors to determine the best solution for you and your family. We will discuss the various residency options along with the process and investment options of each program. We offer tailored solutions to assist and meet your goals.

2. We will conduct our initial due diligence check to ensure that you do not currently hold any criminal charges and are eligible to proceed with the Portugal Golden Visa program. To process the initial due diligence check, a copy of passports for all applicants over 16 and a copy of proof of address (such as a utility bill) is required.

3. Offshore Circle will assist in obtaining a NIF (tax ID number) and Portuguese bank account, as required to proceed with the investment. Once obtained the applicant can then proceed with the preferred investment. Offshore Circle will also provide a customized and itemized list of requirements to ensure you meet and comply with all requirements set by SEF (Portuguese Immigration and Borders Service’s).

4. Offshore Circle requires a non-refundable retainer to supply application forms and work on your application file.

5. Offshore Circle will assist in submitting the pre-application with electronic copies online through the ARI Portal which is SEF´s online portal.

6. Upon pre-approval, an appointment to submit the client´s biometrics will be scheduled at one of SEF´s local branches, in Portugal. The typical timeframe is 2-4 months from the date of application.

7. Applicants are required to attend the biometrics appointment in person at the designated branch at the designated date and time. Applicants will submit their biometrics as well as the hard copies of the required documentation

8. Applicants will receive the residency permit within 4 months from the date of the biometrics appointment. The residency permit is valid for 1 year and is renewable for 2 years. Applicants can choose to renew the residency permit indefinitely every 2 years if requirements are still maintained, or apply for permanent residency or citizenship after maintaining residency for a minimum of 5 years.

Speak with one of our Citizenship Advisors

Speak with one of our advisors to determine the best solution for you and your family. We will discuss the various residency options along with the process and investment options of each program. We offer tailored solutions to assist and meet your goals.

Initial due diligence check

We will conduct our initial due diligence check to ensure that you do not currently hold any criminal charges and are eligible to proceed with the Portugal Golden Visa program. To process the initial due diligence check, a copy of passports for all applicants over 16 and a copy of proof of address (such as a utility bill) is required.

Investment & Documentation

Offshore Circle will assist in obtaining a NIF (tax ID number) and Portuguese bank account, as required to proceed with the investment. Once obtained the applicant can then proceed with the preferred investment. Offshore Circle will also provide a customized and itemized list of requirements to ensure you meet and comply with all requirements set by SEF (Portuguese Immigration and Borders Service’s).

Initiate Offshore Circle´s Services

Offshore Circle requires a non-refundable retainer to supply application forms and work on your application file.

Submit your Application

Offshore Circle will assist in submitting the pre-application with electronic copies online through the ARI Portal which is SEF´s online portal.

Processing Time

Upon pre-approval, an appointment to submit the client´s biometrics will be scheduled at one of SEF´s local branches, in Portugal. The typical timeframe is 2-4 months from the date of application.

Biometric Appointment

Applicants are required to attend the biometrics appointment in person at the designated branch at the designated date and time. Applicants will submit their biometrics as well as the hard copies of the required documentation

Issuance of Residency Permit

Applicants will receive the residency permit within 4 months from the date of the biometrics appointment. The residency permit is valid for 1 year and is renewable for 2 years. Applicants can choose to renew the residency permit indefinitely every 2 years if requirements are still maintained, or apply for permanent residency or citizenship after maintaining residency for a minimum of 5 years.

Frequently Asked Questions

How long is the residency permit valid for?

The residence permit is valid for 1 year. Applicants can renew the permit for 2 years, granted they have met the requirements including spending 7 days in Portugal for the first year and still maintain the investment. After the first year, applicants must visit Portugal for 14 days every 2 years and maintain the investment to renew their permits.

Do I have to register and pay Social Security contributions in Portugal?

No, you’re not required to register or pay Social Security contributions in Portugal, unless you are employed within Portugal.

When must I renew my residency permit?

It is advised to renew the permit prior to expiration. Applicants can lose their visa rights in the event the renewal is not applied for within a maximum of 180 days from the expiry date of the previous residency card.

Is an attorney required to submit the application on my behalf?

There is no need for legal representation and applicants can choose to submit their application through the ARI portal themselves.

Why do I need a NIF and bank account in Portugal?

Portugal requires the main applicant to make the investment from a bank account in Portugal- though proof of funds from abroad must be provided.

Can I include my family members in my application?

Spouse (same-sex partners are accepted)
Children under 18 years old – of main applicant and spouse
Children 18- 26 years old – of main applicant and spouse

Must be unwed & no children
Must be enrolled full time in studies; OR
Financially dependent on the main applicant

Parents over 65 years old or over the age of 55 years if financial dependent – of main applicant and spouse
Siblings under 18 if the main applicant or spouse is the appointed legal guardian

What countries are restricted from proceeding with the citizenship application?

EU/EEA/Swiss nationals cannot proceed with the Portugal Golden Visa

Where should I obtain my police report from?

Police reports must be obtained from the applicant’s country of citizenship as well as from any country the applicant has resided for a minimum of 1 year.

Can I purchase more than one property?

Applicants can purchase more than 1 property as long as the combined value meets the minimum investment.

How long do I have to maintain the investment?

Applicants are required to maintain the investment for a minimum of 5 years. After the 5 year period, applicants have a few choices:

Maintain investment and renew the visa for an additional 2 years
Apply for permanent residency
Apply for citizenship

Can I apply for a loan or mortgage?

Applicants must invest the minimum required and show proof of the funds from abroad. Applicants can use funds from a loan to qualify, granted the loan is sourced from outside Portugal. Applicants can also apply for a mortgage or loan for funds above the minimum required investment.

What are the additional costs for the real estate purchase?

The following taxes are imposed:

Stamp duty: 0.8%
IMT (immovable property transfer tax: 5-8%
IMI (annual property tax): 0.3-0.8%
Deed, notary and registrations costs

How do I make the payment for the costs and fees?

The government fees are payable through the ARI Portal, which Offshore Circle can assist with.

Will I get my money back in the case of denial?

As the government fees, as well as the investment, are required prior to application approval, applicants will not be able to receive a refund. While approval is never guaranteed, if applicants comply with all set requirements, there should be no grounds for refusal.

If I am not living in Portugal, will I be subject to tax?

No, non-tax residents will not be subject to any taxation within Portugal unless the income is sourced in Portugal.

Will I be considered a tax resident of Portugal?

Applicants residing in Portugal for 183 days or more will be considered tax residents and thus will be taxed on worldwide income.

Are there any tax incentives for Portuguese residents?

Yes, the NHR (non-habitual residents) program offers reduced tax rates and exemptions for the first 10 years on foreign-source pensions, dividends, royalties, interest income, and other investment income. To partake in the NHR program, residents must spend a minimum of 183 days in Portugal.

Am I liable to pay taxes on my worldwide income?

Citizens of Portugal are subject to taxation on their worldwide income, though Portugal offers tax treaties to avoid double taxation. Residents who hold tax residency in Portugal will also be liable to pay taxes on worldwide income however, they can benefit from the NHR program with tax exemption and other incentives for 10 years.

What are some tax rates in Portugal?

Non-habitual residents employed in Portugal (in scientific, artistic, or technical progression) are charged a flat rate of 20% on income
Capital gains are taxed at 28%
Net rental income is taxed at 28%
Portugal does not impose an inheritance tax

What are the residency requirements?

Applicants are required to visit Portugal for 7 days in the first year and then 14 days within each additional 2 year period.

Can I obtain Portuguese Citizenship?

The Portuguese legislation states that any person who has maintained legal residency status (temporary or permanent) can apply for citizenship, granted certain criteria are met.

What are the criteria to obtain citizenship?

After 5 years of maintaining residency, applicants must meet the following criteria to apply for citizenship: