Europe · EUR
Portugal
Reviewed 2026-06-21
Top income tax
48%
Self-employed SS
Yes
VAT
23%
Capital gains
28%
Exit tax
Conditional
Nomad visa
Yes
50
/ 100
Tax efficiency27
Ease to enter80
Ease to exit42
Cost of living77
Internet38
English100
Portugal taxes residents on worldwide income at progressive national rates up to 48%, plus a solidarity surtax on high incomes, while the self-employed pay social security at 21.4% and standard VAT is 23%. Most investment and capital gains are taxed at a flat 28%, there is no wealth tax, and inheritance or gifts outside close family carry a 10% stamp tax. Inbound residents may qualify for the IFICI regime with a 20% flat rate on eligible professional income, and solopreneurs can enter via the D8 digital nomad visa or the D2 entrepreneur visa.
Personal income tax
Income tax structureProgressive
Top income tax rate48%
Entry income tax rate12.5%
Top rate threshold$93,600
Taxation basisWorldwide
Local/state income taxNo
Social security
Self-employed social securityYes
Employee SS rate11%
Employer SS rate23.75%
Indirect & other taxes
VAT standard rate23%
Capital gains rate28%
Long-hold CGT exemptionYes
Wealth taxNo
Inheritance/gift taxYes
Inheritance top rate10%
Property taxNo
Exit & residency
Exit taxConditional
Exit tax triggerTargeted, not a general mark-to-market regime. Loss of Portuguese tax residency can trigger tax on unrealized crypto gains (28%, with crypto held over 365 days exempt), on deferred gains from prior tax-neutral corporate reorganizations, and on qualifying startup/SME equity plan gains.
EU/EEA deferralNo
Days to trigger residency183 days
Corporate
Corporate income tax rate19%
WHT on dividends28%
CFC rulesYes
Incentives & special regimes
Special expat regimeYes
Expat regime nameIFICI (Tax Incentive for Scientific Research and Innovation, the NHR successor); legacy NHR for those grandfathered before 2024
Immigration & setup
Digital nomad visaYes
DNV monthly income requirement$3,975
Entrepreneur visaYes
Ease of setup3 / 5
Lifestyle
Cost of living index48.8
Internet speed170 Mbps
English proficiencyHigh
Civil liberties95
Sources
- PwC Worldwide Tax Summaries — Portugal Individual Taxes on personal income
- PwC Worldwide Tax Summaries — Portugal Individual Other taxes (social security, VAT, stamp tax)
- KPMG TaxNewsFlash — Portugal: Reduction in corporate income tax rates (20% to 19% for 2026)
- Government of Portugal — Government increases minimum wage to 920 euros in 2026 (basis for D8 income threshold)
- Numbeo — Cost of Living Index by Country 2026
Informational only. Nothing here is tax, legal, or financial advice. Tax rules change often and vary by personal circumstance. Verify every figure against an official source and a qualified adviser before acting. Figures are re-expressed from public sources and cited per country.