Horst WickinghoffIn a surprising turn of events, the Portuguese government has temporarily shelved plans to scrap the highly sought-after Non-Habitual Resident (NHR) tax regime by the end of 2023. This follows the resignation of Prime Minister António Costa earlier this week amidst a corruption investigation. Consequently, the legislative agenda—including the bill to end the NHR scheme—has been thrown into disarray.
Portugal Sticks with NHR (For Now): Why Expats Can Breathe Easier - But Speed is Key
The NHR regime, famous for attracting wealthy investors and expatriates, was originally slated to close to new applicants at the end of 2023. However, the government's collapse following Costa's resignation means the proposal to terminate the NHR regime has effectively lapsed - though likely not for long.
Expert Advice: How to Handle the NHR Situation
Despite this unexpected lifeline, experts are advising interested parties to apply without delay. The programme's future remains uncertain, facing pressure both domestically in Portugal and from the European Union. During this period of flux, we at DW&P have seen a surge in enquiries as many rush to submit their NHR and visa applications before the year is out.
This presents a window of opportunity for those looking to benefit from NHR tax advantages. We strongly recommend seeking professional advice, as there is still a high probability that NHR benefits could be closed to new applicants in 2024. Our team at DW&P offers specialised guidance on the Portugal NHR programme to help you make informed decisions: https://www.drwerner.com/de/services/nhr-status-portugal/
Disclaimer: The above article is based on independent research by Dr. Werner & Partners and does not constitute legal advice. If you would like to meet with one of our representatives for further information, please book an appointment with us.
