Portugal
Portugal’s political chaos may yet add further good news for British expats in Europe.
The ending of the country’s highly attractive non-habitual residence initiative(NHR) which was slated to close at the end of December, has now been called into question.
Introduced in 2009, the NHR allows qualifying foreign residents to take advantage of significant tax savings during their first ten years in Portugal. It includes a 20% flat rate of income tax and exemptions for some private sector pensions.
Elections will now take place in March 2024 and it will take time for a new State Budget to be drafted. This allows potential NHR applicants with a narrow window to progress their move, although there is a chance the brief reprieve could be permanent if the next political incumbent opts for a U-turn.
