Europe
Portugal: tax at a glance
This is a standard EU residence-based system that taxes worldwide income. But the new IFICI (NHR 2.0) regime offers a 20% flat rate to qualifying tech, science and innovation professionals.
Ways to relocate to Portugal
The residency and citizenship routes that lead here, weighed against the tax picture above.
Golden Visa
Residency by investment
D7
Passive income
D8
Digital nomad
IFICI / NHR 2.0
Tax regime
Naturalisation
Citizenship by naturalisation
Citizenship by descent
Citizenship by descent
The taxes
- Personal income (top)
- 48%Progressive, with 9 bands. The top rate starts around EUR 86.6k. On top of that, a solidarity surcharge adds 2.5% above EUR 80k and 5% above EUR 250k.
- Corporate income
- 19%
- Capital gains
- A flat 28% for individuals, with the option to tax 50% of gains at progressive rates instead.
- VAT / IVA
- 23%
- Dividends (WHT)
- 28%
- Interest (WHT)
- 28%
- Royalties (WHT)
- 25%
- Social security (employee)
- 11%
- Social security (employer)
- 23.75%
- Wealth tax
- None, though the AIMI property surtax applies at 0.7–1.5% on holdings above EUR 600k.
- Inheritance / estate
- None for spouses or children. A 10% stamp duty applies otherwise.
- Property tax
- IMI, a municipal tax, runs 0.3–0.45% of rateable value.
- Other
- A solidarity surcharge of 2.5–5% on high incomes.
How the system works
- Tax system
- Worldwide (residence-based)
- Foreign income
- Taxed (worldwide)
- Taxes by citizenship
- No
- Exit tax
- Yes, leaving has a cost
- CFC rules
- Yes
- CRS
- Participating
A special regime for new arrivals
IFICI, known as NHR 2.0, taxes qualifying Portuguese employment and self-employment income at a flat 20%. Most foreign-source income is exempt, and the regime lasts for 10 years.
The rates below are indicative headline figures (top marginal, standard, and headline rates), reviewed 2026-07. Brackets, surcharges, and state, provincial or cantonal taxes vary. Treat this as a reference map, not advice.
Sources (2)
Secondary references