Retirement Visa in Portugal
Live in Portugal with the Retirement Visa. We provide assistance during your stay: visa, taxes and real estate.
Live in Portugal with the Retirement Visa. We provide assistance during your stay: visa, taxes and real estate.
For those looking to settle down in the European Union, Portugal is the most popular choice. It offers a stable political and social atmosphere, transparent tax laws, adequate infrastructure, a welcoming environment for investors, and a high standard of living. The majority of visitors believe that living expenses are moderate.
The Retirement Visa in Portugal, commonly known as the D7 Visa, grants residency status to non-EU/EEA/Swiss nationals, including pensioners, who plan to move to Portugal and are in receipt of a fair and regular passive income.
The following benefits accrue to successful applicants:
Being able to show that you get regular “passive” income—which can come from a pension, rental income, dividends, or certain types of investment income—is a crucial prerequisite for making a successful application, but there’s also other Portugal D7 Visa Requirements.
Depending on how many dependents the applicant wants to include, different minimum income requirements apply, as follows:
The following dependent family members may be listed in the main applicant’s application:
In order to effectively prepare, submit, and process their application, Lexidy can provide applicants and their families with assistance in locating and completing the necessary papers. The following is a list of these requirements:
After their application of the D7 Visa has been accepted, applicants receive a two-year Portuguese resident card. The card must be renewed at the end of the second year in order to keep residency, at which point a three-year residency card will be issued.
Because the Passive Income Visa is intended for people who want to reside in Portugal, you must stay there for six consecutive months or eight nonconsecutive months.
– First 2 years: Minimum stay of 6 consecutive months or 8 non-consecutive months each year, with a renewal date at the end of the 2nd year for a 3-year residency permit.
– Years 2-5: Also minimum stay of 6 consecutive months or 8 non-consecutive months each year with a renewal date at the end of year 5, with an option of a 3-year residence permit, a permanent residency or Portuguese Citizenship.
The D7 Visa, often referred to as the Retirement or Passive Income Visa, is tailored for non-EU/EEA/Swiss citizens who intend to reside in Portugal and have a stable passive income. While the visa itself does not impose specific taxes, D7 Visa holders must comply with Portuguese tax laws, impacting their income, assets, and overall tax liabilities. Here is an overview of the taxes relevant to D7 Visa holders in Portugal:
To be classified as a tax resident in Portugal, one must:
As a tax resident, global income is subject to Portuguese personal income tax (IRS).
Portugal uses a progressive income tax rate system. For 2024, the rates are:
The NHR regime was available until 2023, and it offered significant tax benefits:
Capital gains from the sale of property are generally taxed at 28% for non-residents and added to other income for tax residents, subject to progressive rates. However, certain exemptions and deductions may apply.
D7 Visa holders are not typically required to make social security contributions unless they are engaged in employment or self-employment in Portugal.
If a D7 Visa holder engages in business activities in Portugal, they might need to register for VAT. The standard VAT rate is 23%, with reduced rates of 13% and 6% for specific goods and services.
While the D7 Visa facilitates residency in Portugal for individuals with passive income, it also brings various tax implications. Understanding personal income tax, potential benefits under the NHR regime, property taxes, and capital gains taxes is crucial for effective financial planning. Consulting with a tax advisor familiar with Portuguese tax laws can provide personalized guidance and help optimize tax liabilities for D7 Visa holders
In conclusion, the D7 Retirement visa in Portugal opens doors to a dynamic work-life experience in a country known for its captivating culture and breathtaking landscapes, but sometimes is difficult to do everything on your own. If you’re eager to embrace the freedom of remote work, and need someone to be at your side on each steps of the process, our team is ready to assist you.
If you’re ready to start your Nomad journey in Portugal or have any questions about the D7 Portugal Retirement Visa, please don’t hesitate to contact us. Our team of lawyers is ready to assist you and provide the legal support you need to succeed.
Join the growing community of D7 Retirment visas in Portugal and experience all that this incredible country has to offer.
A lawyer can be incredibly helpful in obtaining the D7 visa in Portugal by assisting in the following areas:
Eligibility assessment: A lawyer will ensure you meet the requirements, particularly regarding proof of passive income. This could include pensions, rental income, or other stable sources of income that are sufficient to support yourself while living in Portugal.
Document preparation: They’ll help you gather and prepare all necessary documents, such as:
Submitting the visa application: Lawyers can assist with the submission of your D7 visa application at the Portuguese consulate in your home country, ensuring all paperwork is accurate and complete to minimize the chance of delays or rejection.
Residency card process: After obtaining your D7 visa, once you arrive in Portugal, a lawyer can help with the process of getting your residência (residency card) through SEF (Portuguese Immigration and Borders Service), guiding you through appointments and necessary steps.
Tax residency guidance: Since the D7 visa often leads to becoming a tax resident in Portugal, a lawyer can advise on how to manage your tax obligations, including potentially benefiting from the Non-Habitual Resident (NHR) tax regime, which could provide favorable tax benefits.
Appeals and reapplications: If your visa is denied or you encounter issues, a lawyer can assist in appealing the decision or reapplying with corrections to ensure a successful outcome.
If you’d like personalized advice or assistance with your D7 visa in Portugal, we can arrange a meeting to discuss your case in detail.
yes, with this kind of residence permit, you will be allowed to work in Portugal for a Portuguese Company
Yes, the descendents but also the ascendents can be regrouped to the process. We can do an accompanying visa and apply at the same time at the consulate or you can do later directly in Portugal. However, the last option may take longer due to the lack availability to schedule the appointments.
4 times the minimum wage in Portugal. For 2023, three months before the application, you should prove an average of €3040 per month. Additionally, you will need to transfer for your portuguese bank account the 12 times the minimum wage salary in Portugal, correspondent to €9.120 (for the main applicant), for the spouse, 50% of the total amount and for the children (minor) 30%.
We will need to analyze your concrete situation, however, as a tax resident, you will need to declare your income in Portugal and eventually have the possibility to apply for the Non Habitual Regime and benefit a tax rate of 20% instead of the progressive rates.
We need to separate this item in two: for your visa application, you will need a travel insurance that cover the schengen area, situations of repatriation and also the minimum amount of 30K. For your residence permit application, you will need to have a health insurance that cover Portugal.
Once you get the Visa, within the 2 years validity of the visa, you will have to be at least 6 consecutive months or 8 interpolated months on the country. This means you can, for example, be there 3 months for the 1st year and 5 months for the 2nd year, or 6 consecutive months on the 1st year and 0 months on the 2nd year.
It is possible to work in Portugal as a passive income residence visa holder. For this, you must be registered within the Social Security in Portugal.
The residence permit holder cannot be absent from Portugal more than six months in a row or eight months total during the validity of the document.
Yes. After five years with a Portuguese residence permit, you qualify for Portuguese citizenship. However, you must take a Portuguese language exam.
Once the residence permit is granted, it is possible to request the registration in the Portuguese Healthy System and Lexidy can assist you with the matter.
Yes, foreigners must pay income tax on worldwide earnings and these must be declared in Portugal once they become tax resident.