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.

Worldwide (residence-based) Last verified July 2026

The taxes

Personal income (top)
48%
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
Special regime
IFICI (NHR 2.0): a 20% flat rate on qualifying income 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.

Frequently asked

What is the income tax rate in Portugal?

The top marginal personal income tax rate in Portugal is 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.

What is the corporate tax rate in Portugal?

The headline corporate income tax rate is 19%.

Does Portugal tax capital gains?

Capital gains for individuals: A flat 28% for individuals, with the option to tax 50% of gains at progressive rates instead..