INVESTOR’S GUIDE
Portugal
THE REASON TO LIVE, WORK OR INVEST !
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Index About Portugal
Tax Regime Non - Citizens
Selected Regions
Why Maxidomus Group?
2016 - 31st Edition
Portugal
ART & TRADITION HERITAGE, CULTURE AND NATURE SAFE INVESTMENT
Rocha Beach - Algarve
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Bairro Alto - Lisbon
BelĂŠm Tower - Lisbon
TrĂŞs irmĂŁos Beach - Algarve
Situated in the extreme south-west of Europe, just a few hours from any others European capitals, Portugal attracts visitors from all over the world.
With almost nine centuries of defined borders bathed by the Atlantic Ocean, Portugal offers you an exceptional range of landscapes and environments in just a short distance away: superb sandy beaches, golden plains and mountains, cosmopolitan cities and a unique cultural heritage where tradition and modernity blend in perfect harmony.
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Golf Course - Algarve
Monument to the Discoveries - BelĂŠm - Lisbon
Boasts excellent weather allowing numerous indoor and outdoor leisure activities such as 6
water-sports, golf on the best courses in the world or just a walk to contemplate nature and discover the great and well known Portuguese wine and gastronomy. In recent years our country has been a prime location to work, live or invest!
Geography and Climate
The meeting point between three continents - Europe, Africa and America - it has always been central to the most important international routes, with its 943 Km of Coastline.
Caves in Benagil Beach - Algarve
Here you can find international airports all over the country Lisbon, Faro and Oporto, with regular connections to major cities in the world. Pleasant temperate weather all year round, with mild winters and long warm summers. The number hours of sunshine per year reaches 3300, one of the highest in Europe.
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Pena Palace - Sintra
Avenida da Liberdade - Lisbon
Cost of Living Most foreigners consider the cost of living to be low. It is 30% cheaper than most countries in Europe. Eurostats published the data on consumption prices of EU goods and services.
Portugal is in the top of the affordable countries in Western Europe and amongst the cheapest in Europe. By living in Portugal you increase your purchasing power for services and goods’ consumption. The standard of living is moderate to high affording good quality of life. 8
The Portuguese and Cultural Awareness The Portuguese are gracious and friendly, welcoming all visitors regardless of where they come from. Portugal is culturally rich and open to foreign cultures. Large part of the population speaks foreign languages, specifically english, and will be willing to assist you anytime as required.
Minho Typical Costume Portuguese Guitar
Infrastructures of Excellence Portugal competes with the highest standards. By air, by sea or by land, Portugal is in possession of the most advanced solutions: 5 international seaports and airports, a railway network with freight capacity at national and
international levels and one of the most developed and skilled motorway network in Europe. In the main cities, very efficient public transports will take you everywhere. 9
Gastronomy
Po rt ugues e c u i s i n e i s considered one of the most substantial and richest in the world due to its variety of products and influences.
Well known for its abundance of fish and seafood, with nobility of choices from north to south. Most regional restaurants are family owned and offer a selection of typical regional dishes – fish, meat and poultry. To accompany these magnificent flavours, plentiful choices of traditional white and red wines are available.
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Good Health Services
The National Health Service is of convenient and superior service to all residents. The service is free and the cost of medication is subsidized and tax-deductible. The National Health Service is complemented by a network of private practices and modern well equipped hospitals. Private health insurance is available at reasonable prices.
High-level Education and International Schools
The Portuguese work benefits the education system, fully developed and modern, resulting in a high rate of enrollment in an active and intense population on competent human resources. The education system provides 11
public and private schools. Universities offer high level of academic worldwide recognition. There are a large range of international schools, namely german, english, french and others.
TAX REGI ME NON-CITIZENS TAX REGIME FOR NON-REGULAR RESIDENTS (NHR)
The non-habitual resident regime is special personal income tax regime for new residents in Portugal that offers excellent tax opportunities for passive income,
foreign pensioners, employment and independent personnel services (Self-employed). It is an extremely competitive regime, when compared internationally with other favorable tax regimes.
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Portuguese territory more than 183, consecutive or non- consecutive days, during a 12 month period, which begins or ends in that tax year - If has remained only a shorter period, has in the Portuguese territory, as at 31 December of the year in question, a residential dwelling in conditions indicating his or her intention to maintain it and occupy it as his/her place of abode (notably by means of acquisition or lease of property for residential purposes);
SCOPE
Based on a favorable tax regime, is intended to attract to Portugal non-resident citizens, professionals qualified for activities with high added value, as well as individuals with a high net worth or purchasing power. This attraction is based on the application of the exemption method as the preferred method of elimination of international juridical double taxation of foreign source and application of a special rate of 20% (mitigated and proportional taxation) to certain This regime also applies to incomes. migrants who want to return to REQUIREMENTS TO ACQUIRE Portugal. The taxable person deemed NHR STATUS non-regular resident acquires the To qualify as a NHR, an individual right to be taxed as such during m u s t m e e t t h e f o l l o w i n g a period of 10 consecutive years, from the year of its registration, requirements: as a resident in Portuguese - N o t h a s b e e n t a x e d a s a territory, having to comply with Portuguese resident in the five years the requirement of residence every year. prior - Who, has not been taxed as a Portuguese resident in the five The applicant must request to years prior, transfer their tax the Financial Services, adherence residence to Portugal to practice to the regime of Non-Regular Resident when applying to the high added value activities - Register at the local tax office as statue of resident in Portugal or, a tax resident in Portugal (to do so later, through March 31, inclusive, you must have has stayed in the of the following year. 13
RECIPIENTS
INCOME TAX REGIME
Non-residents in Portugal who are willing to establish permanent residence in Portugal or who wish to return after a minimum of 5 years of absence (eg independent professionals, pensioners, dependent workers). Or even non-residents wishing to establish themselves as t e m p o r a r y residents, result of secondment relations (eg independent professionals, salaried workers, members of statutory bodies).
Income from Portuguese sources: By choice, may not be included income from categories A and B, when these are caused by activities with high added value, such as architects and engineers, artists, actors and musicians, auditors and tax consultants, doctors and dentists, professors, investors, administrators and managers, senior executives, as specified in Ordinance 12/2010, of 7th January.
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Income from foreign sources: The income from foreign sources – pensions – are exempt from taxation in Portugal, since they are actually taxed in the source State or they are not deemed obtained in Portuguese territory.
The income from foreign sources - dependent work - are exempt from taxation in Portugal, since they are actually taxed in the source State and provided they are not deemed obtained in Portuguese territory. OTHER REQUIREMENTS
1. Obtain a Portuguese Tax payer number, from the Tax Authority; 2. Open a bank account in a Portuguese Bank; 3. Social Security Affiliation if the non-resident earns income, in Portugal of: • Category A (income from employment) and; • Category B (income from property, capital returns income, own economic activity and general business income). The granting of non-habitual resident status should be preceded by the time of registering as a tax resident in Portugal, or by 31st march of the year following that in which you become a resident in Portugal. * The information above is only provided for informative purposes. Please consult the applicable legislation.
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GOLDEN VISA - Acquisition of real estate, whose construction was completed at least 30 years ago or located in urban rehabilitition areas and performing of remodeling works to the real estate acquired with global amount starting at € 350.000,00 ; - Capital transfer in a minimum amount of 1 million euros; - Creation of at least 10 work posts. - Capital transfer of at least € 350.000,00 for investing in research activities conducted by public or private scientific institutions and € 250.000,00 for investing in artistic output, reconstruction or refurbishment of the national heritage, others. - Capital transfer of at least € 500.000,00 for purchasing shares in investment funds or in venture capital geared to capitalize small and medium companies that, in turn, must present a feasible capitalization plan.
Acquiring a Portugal Residence Permit for Investment Activity (Golden Visa): Portuguese law offers foreign investors who have entered the country regularly (holders of valid Schengen Visas, or beneficiaries of Visa exemption), the possibility of applying for a residence permit for pursuing investment activities by transferring capital, creating jobs or acquiring real estate for a minimum period of 5 years. Who can apply? The investor may choose one of the following investment activities for obtaining a residence permit: - Acquisition of real estate in the amount of € 500.000,00 or more; 16
Documents needed to provide: • Valid passport; • Carrier of Schengen visa, if applicable, and in the 90 days from the day of first arrival to Portugal rectify the situation in SEF (foreigners and borders service); • Criminal records of the origin country or from the one in which the citizen lives for more than a year; • Statement authorizing the inquiry of Portuguese criminal records; • Updated negative debt statement issued by the Tax and Customs Authority and the Social Security; • Declaration under oath of the fulfillment of the investment activity requirements in the country; • Health insurance. This visa allows any investor to freely circulate and work in Europe (Shengen), without any restrictions. Maxidomus Group guides you through the all process.
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REGIONS
Douro River - Ribeira
Cascais Bay
Golf Course - Algarve
Óbidos Castle
Monastery of Jerónimos - Belém
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Douro River - Ribeira
OPORTO PORTO
Oporto is World Heritage City and is famous for its internationally renowned wine and its cultural heritage which combines the ancient churches and monuments with the contemporary spirit of noble buildings. You will be taken on a journey to both natural diversity of the city and countryside in just a few minutes.
It was in Oporto and North Region that Portugal was born and the Portuguese people became a nation in the twelfth century.
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From the river Douro, lay your eyes on the beautiful vineyards extending its margins and offering superb noble wines from Oporto and the Douro valley which are internationally renowned. Among its various regional tastes the “Francesinhas’’ which boasts an array of tantalizing flavors.
Douro vineyards
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Ă“bidos Castle
Silver Coast
COSTA DE PRATA
The Silver Coast stretches during the Litoral between Lisbon and Oporto.
Known as one of the most interesting areas of growth presently, this region is characterized by its diversity: beautiful rocky shores with golden beaches, varied nature and picturesque villages. There are also many rivers and streams that provide lush vegetation. 22
NazarĂŠ Beach
Today, in this region, more than 10 new golf courses are laid out ... a paradise for golf!
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The area is rich in medieval towns like the famous attraction of Obidos and fishing villages such as Peniche. It is the most western city in Europe and is famous for its waves for surfing, as well its historical monuments. For the tourists, it is an alternative as attractive as the Algarve.
Cascais and Estoril Coast
CASCAIS E COSTA DO ESTORIL
Cascais and Estoril, the coastline stretching about 20km north of Lisbon, became one of the most cosmopolitan and touristic places of Portugal. These picturesque bays were frequented by Royalty and therefore have stately mansions that were built by Noble families.
Cascais Bay
Oeiras Marina
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Estoril lighthouse
Cascais was formerly a small fishing village that has become a place of international vacation. It has preserved its original charm with its beautiful beaches, marinas and hotels.
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It is now one of the most historic villages in Portugal. The area offers several golf courses and is considered one of the most sought after areas in the country.
Lisbon LISBOA
The capital of Portugal has over 900 years of history and diverse cultural influences. Built on seven hills, Lisbon has an area where you can breathe the history and also where you can connect with sense of modern environment.
Crossed by the Tagus river, Lisbon is called the ‘City of Light’.
Monastery of Jerónimos - Belém
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S. Jorge Castle viewpoint
The city is seductive to all senses in its viewpoints, both in nobel and modern architecture,sounds of the carris on cobble stones, smell of the sea and delightful palette of the tasty regional foods and wines.
City Centre
Lisbon is colourful and offers majestic monuments, beaches, green fields and a wide range of golf courses nearby. If you feel like a drink, there’s a large offer of bars. You’ll find fun every single night. A very efficient public transport network makes it easy and affordable to visit.
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Parque das Nações
Alentejo Countryside
Alentejo Large rural region in south of Portugal, Alentejo is the great delight to the coutryside The emblematic example of the a n d m e d i e v a l v i l l a g e s region is illustrated by Évora, lovers. “City Museum” whose rich heritage is underlined by its ranking to UNESCO.
Many other villages like Portalegre, Marvão and Monsaraz, arid and golden plains, vast olive groves and long sandy beaches bordered by majestic cliffs, also mark the Alentejo as one of the sites not to be missed for nature lovers. The ideal place for those seeking a life of intense calm. Alentejo typical house
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Algarve In the extreme south of Portugal, the Algarve is the most touristic region in Portugal and was the first tourists’ destination for holidays and expatriates.
home as a haven for European winters. With its excellent infrastructure like highways and an international airport, it is easy to travel to or from any national or international This region has the largest areas. number of hours of daily sunlight In the Algarve, there are “luxury in Europe and thus is sought for resorts”, beautiful beaches and foreigners not only for sightseeing meticulously designed golf or vacation but also for second courses.
Dona Ana Beach - Lagos
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Why buy in Portugal Through Maxidomus Group? With 7 offices and 80 employees strategically distributed in prime areas - Cascais & Estoril Coast and Algarve - our focus is on quality and luxury properties in the most sought after areas.
Founded in 2000, the Maxidomus Group is a substantial and established Portuguese Real Estate Agent operating under Re/Max franchise.
Maxidomus Group Office - Parede
We offer a complete range of specialized services for our national and international clients, whether they are owners, buyers, investment groups or property developers.
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Maxidomus Group Office - Parede
A Global Assistance which consists of: Sales & Consultants team highly trained and qualified; • Legal Department specialized in real estate law; • Financial Management & Consulting professionals specialized in tax planning, mortgages and legal credit; • A Marketing Department to design and implement a solid communication strategy and increase the exposure of the properties we represent; • A Turnkey Service for the land owners or buyers.Our partner MELOM provides ‘The Dream House’, bespoke tailor-made construction projects; • Several Financial and Insurance Products for the owners, managed and developed by our partner MAXFINANCE.
Maxidomus Group has expertise in the Portuguese tax legislation for EU citizens and the “Golden Visa” for investors who are non EU citizens and outside the Schengen area.
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Our mission is based on satisfying our customers needs, providing assistance from the initial enquiry to its completion.
Re/max - Maxidomus Group
Head Office: Parede - Cascais | PORTUGAL www.grupomaxidomus.pt
E-mail: geral@grupomaxidomus.pt Tel : 00351 21 456 16 78
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