NHR application without accountant
 

Re: NHR application without accountant
 

good question , lets hope some come along who have jumped through the hoops on their own with some guidelines , I know it'll help folk out (ie me as well as yourself)

Re: NHR application without accountant
 

Yes it is quite straightforward and you do not need an accountant you need to be able to read Portuguese so suggest you find a friendly Portuguese if your own language skills are not up to it.
Having said that the process is as follows.

1. Apply online through the Finanzas site for an access password ( I assume you already have a NIF and Portuguese address ). Top right "Registar-se"
2. It normally takes about a week to 10 days to receive the password at your address.
3. With your NIF and the Password you can enter the Finanzas website
4. Once into the site you need "Cidadaos - Entregar "
https://www.portaldasfinancas.gov.pt...action?pai=154
Scroll down there is a specific menu : PEDIDO :

• Inscrição de Residente Não Habitual

There you enter your data, the year you are applying, country of origin for and tick a box.
About 48 hours later through the menu "Consultar" - Pedido

• Inscrição de Residente Não Habitual

You can check your status and there should be a pdf attached to download confirming NHR.

Re: NHR application without accountant
 

The information given looks very useful,
As regards needing to be able to read Portuguese, would using Google Translate be enough to use the website?

Re: NHR application without accountant
 

Never tried:unsure:

Re: NHR application without accountant
 

On this topic, do you need to declare yourself as a member of one of the special employment classes listed in the NHR criteria, or can anyone apply? Exactly what data do you need to input on the screen? 22 years ago I resigned from the Institute of Chartered Accountants in England and Wales to take up sheep farming on a smallholding in Devon (great decision, saved myself thousands in extortionate membership fees and never practised as an accountant since) so I could probably dig out my qualification certificate from 1990, if required to prove I was an auditor, one of the qualified categories.

Re: NHR application without accountant
 

You need to be practicing in the listed occupation within Portugal to get relief under NHR.

Re: NHR application without accountant
 

You sure about that ukkram??
I read it as being resident and tax resident in portugal and therefore makes no difference where you ply that trade ie you can work worldwide I can see no stipulation that thw work MUST be carried out in portugal , unless I've missed something

Re: NHR application without accountant
 

The listed occupations are only relevant to obtaining the reduced 20% tax rate on Portuguese income.

Re: NHR application without accountant
 

Yes if you're resident in pt and the payment goes into your portuguese bank account , it matters not one jot where the work took place as long as the country in which it took place has no claim as to your residency there

Re: NHR application without accountant
 

Does one have to declare one's occupation / profession on the NHR on-line application? What if one is retired and not working? What if one intends to live off UK dividend income without salary / wages? Is one still entitled to NHR status? Can anyone remember the list of questions asked in the on-line application and repeat them here? That would be very useful. Looks like I'm going to do it via a professional advisor, don't want to mess up.

Re: NHR application without accountant
 

If you are retired and do not have employment income, then the list of occupations is not relevant to you. However, you can still use NHR to avoid paying tax in Portugal on appropriate investment and pension income from overseas.The only information you have to enter on the website is the country you were last resident in, before coming to Portugal, and the year of your first Portuguese tax return.

Re: NHR application without accountant
 

As to the above, you need to be resident in PT but can earn income worldwide. Sorry if I made you missunderstand.

Re: NHR application without accountant
 

Could you please say what investment income would be exempt with NHR

Re: NHR application without accountant
 

The situation is country specific.
In general, investment income is exempt under NHR, if it doesn't involve any Portuguese funds, and is taxable in the country of origin (or another country).

Re: NHR application without accountant
 

In that case, is it true that mutual funds held in the USA would be taxed by the USA but not Portugal?

Re: NHR application without accountant
 

I'm not familiar with US mutual funds.
It would depend on US tax law and the details of any DTA.

Re: NHR application without accountant
 

Thanks for all the responses. If one were to delay establishing residence in PT until 1 Jan 2019 (greedy to get the full 10 years benefit), then to apply for NHR status (for upcoming PT tax year 2019) 3 months later (or earlier if allowed), say by end March 2019, might there be any risk that the scheme had by then :unsure:been scrapped? There were lots of scare stories about recently that finance minister about to scrap it/amend it. When would the budget speech have to be to scrap NHR for 2019? It seems the 2018 budget was voted on in parliament on November 27 2017, so I assume Nov 2018 will be the date which will determine the fate of the NHR scheme for 2019 and beyond? So get in pre that date if risk averse, else hang on till after if you like living dangerously?

Re: NHR application without accountant
 

For 2018 you can apply up to March 2019. Arriving in January 2019 you would not have to declare until April 2020 , hence the possibility to do the application until March of the year following arrival. Yes there have been reports in the press about potential amendments to the rules but rather than scrappage the focus has been on imposing a new low rate of tax , 5% or 10% hardly alarming considering the benefits. Personally I do not see that happening, in a separate report the Finance Ministry gave a summary of the benefits to the economy of the NHR scheme being tax taken , VAT etc, more than covered the tax losses through granting NHR status. At the end of the day we are talking about relatively insignificant numbers, less than 15,000 take up I think is the figure from last year.

Re: NHR application without accountant
 

Thanks Loafing Along, so I assume any alteration would be made in the November 2018 budget, which would affect any future applications made in respect of the 2019 PT tax year?

Re: NHR application without accountant
 

If the investments are in mutual funds or stocks on the stock market and pays dividends then the dividends can be paid to either country but most likely left to the country of residence. The DTA however caps the tax on dividends at 15%.. NHR may relieve you of any tax here.
If it is taxed as a withholding tax then it may not be more than 15% and PT has no rights to tax it.

If you sell all or part of your investments and it has a capital gain then the gain can only be taxed by PT as it is a residency based tax. In this case having NHR will not provide any relief and you will pay 28% flat rate tax. This is due to the DTA that states "Capital Gains Tax is only payable to the contracting state in which the alienator is resident".

Re: NHR application without accountant
 

It depends on whether you are a US citizen or not but the US is known for it's draconian tax laws and a DTA as thick as a bible.
Most DTA's are virtually copy and paste bar USA and a few obscure ones. It has to be made simple to make cross border trading as easy as possible.

Re: NHR application without accountant
 

Interesting article in Jornal de Negocios the other day.
https://www.jornaldenegocios.pt/econ...l-com-portugal

The move against NHR coming from other European countries who "resent" the fact their tax payers taking advantage of the scheme. In this case Finland. A question of principle not money according to the Finnish Finance Committee.
This is the type of move I believe poses a greater threat to the scheme than a Portuguese government rethink.

Re: NHR application without accountant
 

I'm in the BTL business and applied for the NHR scheme. I almost came unstuck because I confused dates and got approved about 10 days before the deadline. I used an accountant and she arranged everything from applying for my login details, submitting the NHR request (approved), filling by tax return etc. Euros 40. Some online companies try to charge a thousand for ticking a box as that's all that is required. If anyone wants the accountant details, PM me. I've not met her as all was done via telephone and email and she deals with a good few Brits and speaks reasonable English.

Re: NHR application without accountant
 

Hi, newbie here.... We are looking to move as a family to Portugal using the NHR scheme to minimize our tax. Please can you ping me details of the accountant you used? Also, you say you 'got approved 10 days before the deadline'. As far as I am aware the NHR scheme is still available, is this not the case? Thanks

Re: NHR application without accountant
 

Hi Ash,

I'm new to the site and am required to have posted publically on the message board at least three times before getting access to the private message feature... That being said I have sent you a message via your blog. Please, can you share details through there?

To anyone else - I'd have a look through Ash Jez's blog, its a really fun read.

Re: NHR application without accountant
 

Hi,

Did you have any luck finding a reasonably priced an accountant in the end? if so please can you share details? Hope the process went smoothly for you in the end.

Re: NHR application without accountant
 

I've checked the online portal after 4 days and my status says "Deferido" does that mean that the NHR has been accepted? I was expected it to say some like "aceito"

Re: NHR application without accountant
 

Deferido means it's accepted. There should be a pdf you can download with it.

Re: NHR application without accountant
 

There is a pdf, I shall print it out :rofl:

Thank you for the prompt reply Loafing Along.

I just got my good Portuguese - English dictionary out and it does say the verb deferir means; to confer; to grant; to concede.

I should have gone straight to it instead of using Google Translate which says deferred.

Re: NHR application without accountant
 

:thumbsup:

Re: NHR application without accountant
 

Hello, Would you be able to message me your accountants details?

Cheers,
Jo.

Re: NHR application without accountant
 

Hi all, if you use Google Chrome you can automatically translate the Finacas Portal. It makes the process very straightforward, if you are a retiree then the process really is a simple tick box exercise with the only thing to be mindful of is ensuring you put the correct tax year you arrived in (I know of someone who used an accountant and they put the wrong year in and it was game over). For those looking to benefit from the 20% rate you have to be a little more careful and bear in mind that they may request information from you to back your application up. Business owners or those able to draw dividend income from a business outside of Portugal is another way you can benefit from it, lots of people who work as consultants structure their businesses in this way to benefit from the 0% rates.

You have until the end of March of the year following the year you become tax resident in to apply for NHR otherwise the opportunity is lost.

Re: NHR application without accountant
 

What I'd say about the NHR scheme is don't under estimate it's value. Do not think it's of no value to you, apply as you don't know what your future holds and things could change for yourself, and should you fail to do so, apply, within the time limit, the opportunity is lost forever. It's saved me thousands.

Re: NHR application without accountant
 

Hello,

Can you give me the details of your Portuguese accountant or one you would recommend?

Cheers.

Re: NHR application without accountant
 

Hello jojotugger
Who are you asking?
I'll private message you the details of the account we are using.

Re: NHR application without accountant
 

Hello,

Thank you that would be great!

Cheers.

Re: NHR application without accountant
 

Hello, Would you be able to message me your accountants details?

Cheers.

Re: NHR application without accountant
 

A general question for everyone out there- do you need to be living in Portugal for over 183 days per year after the NHR application?
An accountant told me I did.

Cheers.

Re: NHR application without accountant
 

Your question is too vague to answer fully. The 10 year clock starts ticking when the NHR is in place and it will keep ticking regardless of how many days you are present.