Juleskitoo

Hello. I wonder if anyone can help?

I've been NHR registered since March 2020 but due to Covid lockdowns and close family bereavement I've not been able to demonstrate the required 183 days residency in Portugal. Does anyone have any experience of using extenuating circumstances to prove NHR.

I'm retired, have a UK business which I pay UK tax on, but have been paying double tax on my pensions.

Thanks in advance,

Jules

Andyj100

I may be imaging it, but isn't there something about Covid extenuating circumstances in the HMRC notes for the 21/22 tax return, residency section?

Red Eric

The way I see it is that you don't have to prove PT NHR status to the UK tax authorities, since they have no interest in that side of things.

Leaving aside other considerations for the moment to keep it simple, a resident of PT in receipt of pension(s) from the UK will have UK tax taken off until they request relief from it. That can only be done after they have made their first PT tax declaration. The mechanism for the request is HMRC's Form DT Individual which you complete and enclose a certidão de residencia fiscal, which you obtain from the Portal das Finanças, for each of the relevant pensions.

I can't see any reason why your NHR status would involve any difference in process. However, the matter of where you have actually been residing during the tax year(s) in question may well have a bearing on what you should have informed each of the tax authorities of.

dingg

Do you still have a house in the UK in which you live or is available for you to live in?

It does sound from your post that you actually still have your life in the UK.

Juleskitoo

Thanks - that's really helpful. I'll take a look at the link.

Juleskitoo

There is - although was looking for actual examples of people using it. Thanks for the reply.

Juleskitoo

So my house in the UK is a holiday let so its a business - I only stay there over the winter to do maintenance.

dingg

👍

I was concerned about the srt but no worries now 👍

Juleskitoo

SRT? Not a TLA I know.

Red Eric

Statutory Residence Test

Juleskitoo

Ah thanks.

Red Eric

Hmmmmmmm.........

dingg

I'm sure Jules will be paying the market rate to his holiday let businesses, if not perhaps he'll now consider it 😉🤔

Red Eric

From what's been posted so far, that might not be the only concern with regard to determination of recent place of either residence or fiscal residence.

But that's none of my business, so I'll leave the OP to clarify it with the relevant authorities, should they happen to show any interest in the matter.

SgtTroy

A holiday let business could operate only during the season, even only a couple of months in the year. The issue here could be more with the relevant expenses, and whether it is a sole trader, or Ltd, etc.

With regards to the residence - I can't see how anyone spending less than 183 days a year, and not having a permanent home (see definition in the Tax Code) in Portugal could be considered a fiscal resident for that year, NHR or not.