Portugal is ending their NHR Tax Loophole
- PM admits ‘NHR’ is biased way of inflating housing market Portugal’s prime minister António Costa has announced the end of the special NHR tax regime for non-habitual residents – long hailed as ‘Europe’s best kept secret’.
It is a move that has long been ‘predicted’ by the industry that sustains foreign investment in Portugal: indeed pressure for the axing of NHR has been building since 2016 when Finland pulled its own citizens out of the regime, describing it as a ‘tax holiday’ for pensioners living in Portugal who, Finland believed, should have been contributing fully to public coffers.
Socialist policymakers nonetheless held out for the regime for another seven years, until now.
“There was a time when it was necessary”, the PM said.
“Who has it, will keep it”, Costa assured.
The NHR tax regime is simply ending as of 2024 (no exact date yet explained).
