Update: As of October 30, Portugal opened purposes for the newest digital nomad visa supplied for distant employees.
Requirements:
- minimal wage €2,836 month
- proof of earnings for the previous 3 months
- proof of tax residency
- employment contract or self-employment proof
Where to use:
To apply for Portugal’s digital nomad visa it is advisable to go to the Portuguese Consulate/Embassy in your house nation, or at SEF (Serviço de Estrangeiros e Fronteiras), the nation’s Immigration and Border Service.
We advocate giving a name to the embassy in your house nation to rearrange the appointment or in case you’re already in Portugal, attempt contacting and making an appointment instantly with SEF.
Portugal’s Non-Habitual Residency (NHR) Tax Regime – Is it for you?
The NHR regime is a singular tax construction that gives preferential tax charges for the primary 10 years to newcomers to Portugal. This sometimes entails a flat fee of 20% on qualifying earnings for digital nomads, freelancers, distant employees, and workers . The 21% social safety tax (on the remaining 80%) should even be thought-about.
Paying a flat fee of 20% is likely to be a really tempting supply for a lot of digital nomads, particularly rich earners. NHR isn’t the only real tax system in Portugal, and it isn’t at all times the most suitable choice for shoppers, says Paula Santos of Tax Team Consulting.
“NHR is one option, but it’s not the only option. Another option for service providers with turnover of less than €200,000 is the Simplified Regime, which uses (progressive) standard Portuguese tax rates but means that only 75% or 35% of your income is taxed, depending on the services provided. Unlike the NHR regime, this route also allows you to take advantage of claiming tax credits. It’s also possible to have some income taxed under the NHR regime and some under another regime. An accountant can help you decide what works best for you.”
It’s not information that COVID basically altered the office, forcing many firms to shift their former workplace workers to a distant work mannequin. Kitchen tables, lounge couches, and spare bedrooms have grow to be right now’s new workplaces. But it doesn’t need to be that manner.
Likely, many distant employees don’t notice that a number of international locations famed for his or her lovely surroundings and perpetually nice climate have begun providing a kind of visa created particularly for distant employees. The most up-to-date addition to the listing is Portugal, which has made obtainable a “digital nomad” visa that permits remote-capable employees to briefly relocate to the nation for as much as one yr.
With this transfer, Portugal has joined a gaggle of different international locations providing comparable packages, together with, amongst others, Costa Rica, the Cayman Islands, Croatia, and Thailand. The impetus for the digital nomad visa program is Portugal’s need to stimulate its financial system by injecting extra short-term residents into its cities and cities.
Portugal is already well-known by many retirees for its D7 visa, which offers a chance for people with passive incomes to realize Portuguese residency. Its digital nomad visa is comparable in that it extends a residency alternative to a brand new phase of the worldwide inhabitants, albeit a much less everlasting one. However, it may be a bridge to acquiring the D7 visa.
Application documentation necessities are comparatively simple; solely proof of non-EU nationwide residency and employment by a non-EU-based firm is required. Trading the “couch office” for a Portuguese seaside is now an actual risk.