*UPDATE to this video available regarding changes to Golden Visa from January 2022*
In this video, I explore the main routes to obtaining Portuguese residency which will be especially relevant to British nationals post Brexit, as they no longer have the automatic right to reside within the European Union.
The three main routes to establishing residency here for most British expats will be as follows:
1. EU residency certificate
For those that either have dual nationality, or are able to achieve e.g. those with Irish ancestors
2. D2 visa
The D2 Visa is a type of visa you can apply for if you are an entrepreneur and wish to conduct business and reside in Portugal.
However, the majority of those looking to establish residency here will focus on the following two visa options
3. Golden visa
What is it?
• Residence permit issued to non-EU nationals which now includes Brits post Brexit.
• Allows access to Portugal and Schengen area if you invest in Portugal in a number of different ways
• Receive a temporary residence permit valid for 2 years
• Subsequent renewals in 2 year increments
• After 5 year, can apply for permanent residency OR Nationality
• Can live AND work if you wish
• Ability to obtain permits for your family, children/spouse/dependent children or parents who are dependent and above 65
• Gateway into the Non Habitual Residence (NHR= scheme – please see separate video
What is investment?
• Capital transfer of at least 1m eur
• Activity that results in creation of 10+ jobs
• Investment into funds of 350k eur or more
• Investment in property valued at 500k eur or more*
*Please note there are changes occurring after end of this year so from 31st December 2021, certain regions will be excluded from qualifying
4. D7 visa
What is it?
One that isn’t known so well is the D7 visa which is also sometimes referred to as the passive income visa
What is passive income?
Based on the minimum monthly salary [currently (2021) amounting to 665€], net of any social security deductions, with an increase for each family member as follows:
• First adult 100%;
• Second adult and additional adults 50%;
• Children and young people under 18 years of age and non-minor dependent children 30%
Contrast with the Golden Visa scheme and benefits
• Allows initial stay of up to 4 months, followed by conversion into residency permit
• Initial temporary permit – 2 years, then can be renewed for another 3 years, the permanent residency after this
• Then after 5 years, perm res or even citizenship
• No investment needed
• Access to Schengen
• Faster process than the Golden Visa – visa could be issued within 60 days and 4 added months residence permit
• Gateway into NHR
All visa routes offer a gateway into the Non Habitual Residence scheme which is a 10 year tax advantaged scheme to attract new residents to Portugal. Although individual advice is essential, in the vast majority of cases, becoming non habitual resident is beneficial from a tax point of view over standard tax residency because, with correct advice and structuring, you may be able to live either tax free or pay low levels of tax.
I have recorded a separate video outlining the benefits of becoming non habitual residents here in Portugal and you can find that below:
#d7visa #goldenvisa #NHR #movingtoportugal
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