Portugal new Golden Visa rules to go live ‘within days’!

The new regulations for the golden visa program in Portugal are set to become effective shortly, following the formal approval by Portugal’s president, Marcelo Rebelo de Sousa, on September 30th. The legislation will proceed to the Portuguese parliament for official ratification, with experts estimating a period of 4-8 days before it officially becomes law.

The package entails various provisions, including a capital gains tax exemption for individuals selling their properties to the State, the discontinuation of new golden visa applications, an increase in the deduction for dependents within the Family IMI, adjustments to the autonomous rate of property income, and tax exemptions for property owners who cease offering their properties for local accommodation by the end of 2024.

The new investment options, which apply to all golden visa applications filed from today onward, are as follows:

A) The creation of at least ten jobs.

B) Transfer of capital equal to or exceeding EUR 500,000, directed towards research activities conducted by public or private scientific research institutions integrated into the national scientific and technological system.

C) Transfer of capital equal to or exceeding EUR 250,000, designated for investment in or support of artistic production, restoration, or preservation of the national cultural heritage through various public entities, foundations, and associations with responsibilities in these areas.

D) Transfer of capital equal to or exceeding EUR 500,000, intended for the acquisition of shares in specific collective investment vehicles governed by Portuguese law, with a minimum maturity of five years, and with at least 60% of investments in companies based in Portugal.

E) Transfer of capital amounting to EUR 500,000 or more, meant for either establishing a commercial company with its headquarters in Portugal along with the creation of five permanent jobs or increasing the share capital of an already established Portuguese company, resulting in the creation of at least five permanent jobs or the maintenance of at least ten jobs for a minimum duration of three years.

As previously, the minimum investment thresholds for options 1, 2, and 3 may be reduced by 20% when the investment is made in low-density areas, defined as regions with fewer than 100 inhabitants per square kilometer or a GDP per capita less than 75% of the national average.

If you would like to learn more about how these changes may impact your investments or require further information on the best investment or residency options in Portugal, please get in touch with the MB Consulting team.