| Requirement |
What does it mean? |
| 1. Become a tax resident in Portugal starting in 2024 |
The tax payer can become a tax resident in Portugal either voluntarily (after securing an address and getting a residency visa or equivalent) or compulsorily (after living in Portugal for more than 183 days in any period of 12 months or establishing an habitual abode in Portugal). |
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2. Conduct one of the following eligible Scientific Research and Innovation activities every year (with no gap bigger than 6 months):
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In order to be TSRI eligible, the taxpayer must be hired for one of the following highly qualified functions: |
a. Teaching in higher education and scientific research, including scientific employment in
entities, structures and networks dedicated to the production, dissemination and transmission of knowledge,
integrated into the national science and technology system |
This mostly includes the employment of doctoral graduates or those who are part of the scientific research career, the career of university teaching staff or the career of polytechnic higher education teaching staff to carry out R&D activities.
By definition – since the entity must be integrated into the national science and technology system – this should only include Portuguese entities. |
| b. Employee or member of the governing bodies in entities recognized as technology and innovation centers |
These are entities dedicated to the production, dissemination and transmission of knowledge,
oriented towards companies and the creation of economic value, contributing to the pursuit of public policy objectives.By definition, technology and innovation centers need to have effective management and facilities in Portuguese territory and carry on business in Portugal. |
| c. Qualified employee or member of the governing bodies of entities that are benefiting from a contractual tax incentive for productive investment. |
These are companies that have signed a tax incentive contract with the Portuguese government as a trade-off for investing in the applications that are relevant to the strategic development of the national economy, to reduce regional asymmetries or to boost technological innovation and national scientific research, improving the environment or strengthening competitiveness and productive efficiency.
Again, we are talking about companies with effective management and facilities in Portuguese territory and carry on business in Portugal. |
| d. Highly qualified professions, to be defined in a Ministerial Ordinance, developed in:
d.1. companies that are benefiting (or have benefited in the last 5 years) from our tax regime to support investment (RFAI);
d.2. Eligible industrial and service companies which export (or have exported in the last 2 years) at least 50% of their turnover. |
These are companies that either (i) have made tax relevant investments under RFAI (mainly technology) or (ii) have major exports in eligible indistrial and services sectors.
While a new list of highly qualified professions is not issued, the list used for the previous expats regime (Non-Habitual Residency) will apply.
Also eligible industrial and service companies should be understood to be the ones found in this list.
Again, we are talking about companies with effective management and facilities in Portuguese territory and carry on business in Portugal. |
e. Qualified jobs and members of governing bodies, in entities that
carry out economic activities recognized by AICEP, E. P. E., or by IAPMEI, I. P., as
relevant to the national economy, namely attracting productive investment and
reducing regional asymmetries. |
We are are still waiting to know what are the economic activities that AICEP and IAPMEI (public entities that are responsible for various certification for innovation and economic activity) will consider to be relevant.
But again, if should companies with effective management and facilities in Portuguese territory and carry on business in Portugal.
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f. Research and development personnel, whose costs are eligible for the purposes of the
system of tax incentives for R&D (SIFIDE); |
These are companies that invest heavily in R&D in Portugal.
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| g. Jobs and members of governing bodies in entities certified as startups. |
This means companies that:
i.Are in business for less 10 years; and
ii.< 250 employees; and
iii. <= 50M€ turnover;
iv. Were not established as a result of a spin-off;
v. Are established in Portugal (or have, at least, 25 workers in Portugal);
vi. Has either high potencial of growth or has received venture capital funds.
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h. Jobs or other activities carried out by tax residents in the Azores and Madeira
Autonomous Regions of the Azores and Madeira, under terms to be defined by regional legislative decree. |
We still don’t know anything about these terms. |
| 3. Not have been an NHR in the past |
Meaning that someone who had NHR in the past, left Portugal and now has come back cannot get into this TRSRI. |
| 4. The employer company cannot be deducting the salary expenses in the tax regime on investment (RFAI); |
Meaning that the employer cannot be deducting the salary it pays through the tax regime to support investment (RFAI).
So the taxpayer needs to confirm this with his employer to make sure his TSRI will not be denied. |
