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    Current NHR Tax Holders: Are you structured and protected?

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    Securing EU Residency Through Portugal's Golden Visa

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Expat Life & Events
October 31, 2024

Why Portugal is the World’s Most Appealing Destination for Skilled Expats

Why Portugal is the World’s Most Appealing Destination for Skilled Expats

Portugal is fast becoming a leading destination for international expats, attracting a wave of highly skilled professionals, entrepreneurs, and affluent individuals from across the globe.

As with many Western nations, Portugal faces the challenge of a declining working-age population. However, the Portuguese government has been proactive, implementing strategic measures to draw in skilled workers, entrepreneurs, and young talent.

The latest draft budget is set to increase the income tax threshold to €35,000 for individuals under 35. A new tax regime, NHR 2.0, will be introduced in 2025, offering substantial tax benefits on the first €220,000 of professional income for skilled professionals and entrepreneurs. Additionally, a 0% tax on capital gains is expected to be part of the upcoming state budget.

Reports by Ernst & Young highlight a surge in investor confidence, while the international Fitch Ratings agency forecasts that Portugal’s economic outlook will surpass both the EU and the UK in the near future.

Lisbon, Cascais, Porto, Braga, the Silver Coast, the Algarve, and Comporta remain popular destinations for digital nomads and entrepreneurs. These areas draw international talent with their dynamic culture, attractive lifestyle, and creative energy. This trend is bolstered by the Portuguese government’s incentives, such as the Digital Nomad Visa, tax benefits for young professionals, and investment opportunities like the Golden Visa.

Lisbon is continuing to grow as young international talent surges

Paul Stannard, founder of Portugal Pathways and the Portugal Investment Owners Club, which supports affluent families, professionals, and entrepreneurs moving to Portugal, notes that the country is entering a transformative phase:
"Portugal has become a top choice for international professionals not only for its tax incentives but for the lifestyle it offers. The blend of culture, cost of living, and governmental support for skilled workers is establishing Portugal as a prime destination for global talent."

With the influx of digital nomads, young families, and entrepreneurs to cities like Lisbon, Braga, and Porto, the luxury real estate market is experiencing a boom. This trend is driving the development of high-quality properties, infrastructure, and rental options, while the government's new housing plan for young people aims to sustain the appeal to incoming talent.

Stannard adds, "We’re seeing a growing interest not only in Portugal’s lifestyle but also in opportunities for investment. Portugal Pathways and the Portugal Investment Owners Club are facilitating this by connecting newcomers with local networks to support their professional and personal success."

Portugal’s attraction extends beyond Europe. Steven Harper, a music producer from California, shared his views:
"Portugal is a fantastic place to grow our international business and raise our young family, with outstanding international schools in Lisbon. With a high level of English proficiency, a business-friendly environment, and a welcoming culture, we couldn’t be more excited. We considered moving back to the UK, but Portugal just makes sense for both our lifestyle and finances."

As Portugal continues to refine its appeal to international talent, the country stands out as a beacon for those seeking not just a new home but a place where they can flourish professionally and personally. The country's warm climate, rich culture, and forward-thinking policies make it an irresistible choice for a global audience looking to escape economic and political uncertainty elsewhere.

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Current NHR Tax Holders: Are you structured and protected?

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Please note that during the Christmas and New Year period, response times for form submissions may be longer than usual. We appreciate your understanding and patience during this festive season. Our team will do their best to attend to your submissions as promptly as possible. Wishing you a wonderful holiday season!
In order for us to best help you, please state: what solutions you require, the status of your residency, if you hold NHR tax status, if you are currently applying/intending to apply for NHR, if you hold a NIF ID, if you are currently applying/intending to apply for a NIF ID, if you have medical insurance in Portugal, and if you have proof of an address in Portugal, in addition to any other pertinent information.
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