Portugal Golden Visa Program 2021
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Looking to obtain a Golden Visa Residency in Europe during 2020? The Portuguese Golden Visa Program is one of the world’s flagship investment visa programs, offering South Africans a fast, simple path to establishing a foothold in Schengen Europe.
Established in 2012, the Portuguese investor visa program has enabled thousands of foreign property investors, including hundreds of South African families, to gain access to Europe.
The program enables you and your family to work, live and study in Portugal, while also enjoying visa free travel within the European Schengen area. English is widely spoken, especially within the major metro areas, and the non-habitual tax regime offers incredibly attractive personal taxation options. What’s more, the program offers a route to potential citizenship after 6 years, making it a highly compelling options for those seeking a permanent Plan B for their families, or to retire in Europe.
The Portugal Golden Visa is a temporary residency permit initially valid for a period of 12 months, after which it can be successively renewed for a period of 2 years thereafter, provided that the applicant continues to be able to prove compliance with the program’s requirements. After your Golden Visa residency status has been successfully maintained for a period of 5 years, you become eligible to apply for permanent residency. After 6 years, you also become eligible to apply for Portuguese citizenship, provided that you have complied with all previous requirements and meet the requirements for citizenship.
Find out more about the benefits of the Portugal Golden Visa below, or contact us now for a free consultation.
Why Choose Portugal
Steeped in European cultural history, Portugal has, in the past decade, gone from being Spain’s ugly sister to becoming an acclaimed travel destination in its own right. Centrally situated in Southern Europe, Portugal boasts a temperate, sunny climate, world class beaches, sumptuous cuisine and a reputation as one of the world’s safest places.
Additional benefits of obtaining a Golden Visa in Portugal include:
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Visa-free travel across the EU
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High standards of living healthcare, education and personal security.
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A fast process – residency can be granted in as little as 12 months.
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Low minimum in-country presence requirement
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Attractive taxation for Non Habitual Residency
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Investment options from as little as €250,000.
Key program overview 2020
Stay periods: As of 2019, the program requires applicants to spend a minimum of 7 days per year in Portugal during the first year of Golden Visa residency, and a minimum of 2 weeks per year during each of the following 2-year periods.
Program eligibility: The program is accessible to all non-EU nationals, provided they can make an investment of at least €350,000, and offers 9 different investment paths for obtaining a residency permit
Dual citizenship: Portugal recognises dual citizenship, with Golden Visa holders becoming eligible to apply for citizenship after maintaining legal residency for a period of 6 years, subject to being able to meet the prescribed requirements. Applicants must by then also be able to provide a clean Police Clearance Certificate, as well as being able to demonstrate a working proficiency (A2 Level) in Portuguese.
Taxation: For non-residents, personal income tax on Portuguese sourced pension and employment based income is charged at 25%. No wealth taxes are applicable in Portugal, and gifts and inheritances distributed between parents, children and grandchildren are not taxed either. Dividends, rental and interest based income are taxed at 28%. For new Golden Visa residents wishing to reside in the country for longer periods, however, the Non Habitual Residency Tax Regime (NHR) may be more attractive. Once you have obtained your NHR tax status, any foreign sourced and business income can become subject to tax exemption, while locally sourced income will be subject to a flat tax rate of only 20%, though some surcharges may be applicable.
While the program has come under fire from a number of Portuguese political parties, it was nonetheless expanded in January 2019 with the inclusion of a Green Investment Visa option. The latter requires an investment of €500,000 or more into a range of environmental projects in the renewables, carbon offsetting and non-intensive agricultural sectors.
Visa Investment Options 2021
As of January 2021, applicants have the following investment pathways available:
PROPERTY INVESTMENT OPTIONS:
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1) A real estate investment of no less than €350,000 in an urban redevelopment or low population density area, defined as having less than 100 inhabitants per square kilometre, and/or with a Gross Domestic Product level that is below 75% of the national average.
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2) A property investment of no less than €500,000 in a regular urban area.
JOB CREATION OPTIONS:
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1) An investment leading to the creation and maintenance of 10 permanent new jobs for Portuguese nationals.
INVESTMENT & CAPITAL TRANSFER OPTIONS:
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1) An investment of €250,000 or more in aid of supporting artistic endeavours or maintaining Portugal’s national heritage.
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2) A €350,000 constitution of a commercial society headquartered in Portugal, combined with the creation of at least 5 permanent jobs, or for the reinforcement of an existing Portuguese commercial entity’s share capital to create or maintain a minimum of 5 job opportunities for a period of 3 years.
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3) An investment of €350,000 in scientific research conducted by private or public research entities with a view to directly benefit nationally relevant science or technological systems.
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4) A capital transfer of no less than €350,000 for the acquisition of shares in Portuguese investment funds, or for use as venture capital for the capitalisation of a Portuguese company or companies whose maturation at the point of investment is at least 5 years, with a minimum of 60% of the total investments to be realised in Portugal based commercial enterprises.
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5) An investment of no less than €500,000 into a commercial enterprise in the renewable energies, non-intensive agriculture or carbon offsetting sectors – the so-called Green Visa.
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6) A €1 million capital transfer into a Portuguese bank.