Recently, the 2024 State Budget Law repealed the Non-Habitual Resident (NHR) scheme in Portugal. But has this scheme come to an end entirely?
It is important to clarify what has changed and who can still benefit from this tax scheme.
The RNH has not disappeared entirely. Although some rules have been repealed, provisions have been put in place to protect those who were already benefiting from the scheme and to allow others to continue to benefit from it until the end of 2024.
Who can still benefit from the RNH scheme?
- Those who were already benefiting from the RNH: If they were already registered as Non-Habitual Residents before the rules were repealed, they continue to benefit from the scheme until its 10-year duration expires.
- Those who became tax residents by 31 December 2023: Those who became tax residents by the end of 2023 can still benefit from the scheme. To do so, they must spend at least 183 days a year in Portugal.
- Anyone who becomes a tax resident by 31 December 2024: Despite the changes, it is still possible to benefit from the RNH scheme if you become a tax resident by the end of 2024. Again, you must spend at least 183 days a year in Portugal or have a property in the country that demonstrates your intention to reside habitually in Portugal, along with other specific requirements, such as an employment contract, a tenancy agreement or the enrolment of dependants in an educational establishment.
- Family members of RNH beneficiaries: Those who are part of the household of someone already benefiting from the RNH can also benefit from the scheme.
Please let us know your situation so that we can help you.
Please contact us for more information.
