Legal Considerations When Moving to Portugal

Portugal residency requirements

In this post-Brexit world, if you’re British, you might be wondering how to move to Portugal. Brits can no longer benefit from the common travel area, and that means that a Portugal residency visa is needed for any long-term stay. This applies to anyone who is not an EU citizen. If you don’t plan to have a Portugal permanent residence, (for example, if you only plan to stay for a few months at a time), then you don’t have to worry. Non-EU passport holders cannot stay indefinitely in Portugal without a passport, but they can stay for 90 days without requiring a Portugal residency visa, which should easily cover any seasonal stays.

For those who are planning to purchase a permanent Portugal residence and who plan to live, work or study there, then you will need to meet Portugal residency requirements. Resident permits come in several types, and you will need to apply to the one that suits your circumstances.  
 

You must apply for these visas at the local Immigration and Borders Service (SEF) once in Portugal, and will also need proof that you are legally in the country e.g. a valid visa/passport that permits visa-free short stays. 

Each Portugal residency visa is valid for one year and once it has been renewed five times (to cover a total of five years), you can apply for a Portugal permanent residence permit. A year after this, you can also apply for Portuguese citizenship which will allow you to:
 

• Vote in elections
• Acquire a Portuguese passport
• Have EU citizenship
• Be able to live and work in the common travel area
   

You can also continue to renew your Portugal residency visa if you don’t plan to stay indefinitely. 

Buy property in Portugal and get residency

There is a shortcut to Portuguese residency via property. Known as the Golden Visa, foreign nationals who purchase property that meets certain criteria are granted residency.
 

For those who plan to buy property in Portugal and get residency, this may seem a great solution, but you will need to keep a few extra legal considerations in mind, including the need to:
 

• Open a Portuguese bank account
• Acquire a Personal Fiscal Number
• Engage a local solicitor for property surveys 
• Agree on a sale price and sign a sale contract
• Pay the deposit and property transfer tax
• Sign the deed of purchase and sale
• Register the property in your name
• (Where relevant) renovate the property and retain proof of cost
   

Even after you have completed this, the regular Portuguese citizenship requirements remain, including a Portuguese language test. 

Search our Portuguese properties. 

How does Portuguese tax work for expats?

You must register as a taxpayer before you start any paid work in Portugal. Once you have a NIF (Numero de Identicacao Fiscal), a Portuguese tax number, from the local tax office, you can start to work. Every year you will need to submit a tax return. 

If you are a tax resident within Portugal, your income made in any other part of the world is also subject to Portuguese tax, but for UK nationals, there is a treaty in place to make sure you do not have to pay tax more than once on your incomings.

You should assume you need to complete a tax return and are required to pay Portuguese tax if you spend more than 183 days of the year there, or if you are resident in Portugal on December 31^st of any tax year. If the head of your household is a tax resident, the requirement to pay Portuguese tax may also extend to you and your earnings.

How to get a social number in Portugal?

A social security number or NISS is required for those working in Portugal. If you have been employed by a local business, then your employer should start this application for you, and you will need to follow up with the necessary paperwork. If you are self-employed, you will need to make a different application that shows the formations of your company. Once this has been processed, your NISS will be sent to you. All applications will need the following:
 

• Proof of residence
• Proof of employment/company formations
• Passport or identification card
• Portuguese tax number/UK NI number
• Proof of address in Portugal
• Completed application form

Portuguese bank account for non-residents

You can open a bank account in Portugal whether you’re a resident or not.  You will need the above-mentioned Numero de Identicacao Fiscal as well as:
 

• Valid photo ID 
• Proof of address 
• Proof of employment 
• Proof of your foreign address (for non-resident accounts)
   

Most banks will require you to visit in person to open an account, and you may be restricted to certain accounts based on your circumstances e.g. student account, non-resident account etc.

Moving to Portugal FAQs 

How easy is it to retire to Portugal from the UK?

As with many things in life, retiring in Portugal is made far easier if you have money to spare. The simplest way is to go the Golden Visa route and be rewarded with residency in return for buying a retirement home of at least €400k. Alternatively, if your pension exceeds €1,000 a month, you can apply for a D7 visa, also known as the Portugal Retirement Visa.

Is it easy for Brits to move to Portugal?

If you’ve got a job offer, then moving to Portugal is relatively straightforward with your employer supporting your application for residency. For short-term stays, the 90-day permitted stay also makes it easy to split your time between Portugal and the UK.

Why move to Portugal?

Portugal offers warm weather, lovely beaches, wonderful culture and cuisine, and is roughly 30% cheaper than the UK in terms of costs of living. It’s been popular with Brits for years, and around 50,000 of them already call Portugal home.