Couple mitigated progressive tax rates before the end of NHR

After successful careers and wise investments, they moved to the beautiful town of Lagos in Portugal. They lived comfortably there for five years under the D7 visa and the Non-Habitual Residency (NHR) tax regime. Thanks to the NHR tax programme, they enjoyed the 0% tax on their overseas pension and other assets held outside of Portugal.

However, like many approved under the NHR tax regime in Portugal, they had yet to plan for the long term and were unaware that after 10 years, they would face progressive tax rates of 28% to 48% if they failed to take action. They were unprepared for the end of the NHR period, which could drastically change their tax status.

Once they came to Portugal Pathways, we were able to put them in touch with cross-border tax specialists who were able to optimise their position and helped them avoid a significant tax burden.

David and Laura were able to continue enjoying their retirement in Portugal without the added stress.