Diddion

My understanding is that interest, dividends and gains on shares do not qualify for NHR, so I fear that you’ll be in for a hefty tax bill, I’m afraid. I think you are looking at a figure of 28%........

JohnsonN

And the interesting part is that just few hours ago one nice lawyer (100€ per hour and luxury office with sea view ) told me that WILL BE 0%

Pilou

Your lawyer is right.

Diddion

On what basis? Unearned income and gains are taxed at 28%, other than when held in a European compliant bond. I beg to differ with you and with the lawyer I am afraid, Pilou. This view of taxation is corroborated by many of the posts in this thread, some of which give first-hand experience.

JohnsonN

Aaaand here we are

Diddion

Sorry, I don’t understand what (or who?) you’re getting at!

liveaboard

Is the lawyer a tax specialist? Does he/she have experience with immigrants and their international tax liabilities?
I know people think "lawyer" means all knowledge of law, but in reality tax rules are weird.
Unless your lawyer has experience with NHR, I'd find someone who does to consult with before making your financial plans.

Also, don't forget that tax rules just change from one year to the next. Our taxes tripled recently. And it hurts.

Diddion

Look, for example, at this 2018 link from KPMG. I think they are likely to be correct

http://https://home.kpmg.com/xx/en/home/insights/2011/12/portugal-income-tax.html

JohnsonN

Sorry, that was an irony. I got 2 absolutely different opinions in just 5 minutes. This is what happening to me last weeks

JohnsonN

Renowned tax lawyer in Lisbon (previously at Ernst & Young), Dr Francisco de Carvalho Furtado, commented to me the following: ..Regarding the Non-Habitual Tax Residents (NHTR) benefits, we must stress that there is no Double Tax Treaty (DTT) entered into with the referred jurisdictions. Therefore, the NHTR tax exemptions are only applicable if according to the OCDE DTT draft the state where the income is sourced is allowed to tax, and the same income is not deemed obtained in Portugal.

In general, interest and dividends may be taxed by the state where the income is sourced, meaning that the NHTR tax benefits may be applicable. However, regarding capital gains that are not related to real estate located therein or assets owned by entities or permanent establishments located therein, there may be no benefit because the power to tax is given to the residency state.”

Diddion

My head hurts.....

JohnsonN

Sorry
My head is also not very good after days and weeks of researching.

JohnsonN

You know, someone recommended him to me as a very smart tax consultant. But i think he didn't have that experience i need.

Red Eric

I can't see where in that link it is stated that foreign-sourced interest or investment income paid to beneficiaries of NHR is taxed at 28% in Portugal.

The table headed "Non Habitual Residents" shows the rate for Portuguese-sourced income only.

Unless I've missed something.

Pilou

Maybe not a good idea to start with irony that soon. That is why I won't comment further.
Many many years ago I was a tax lawyer. These discussions will give them a lot of work .... Good for them.