Non-habitual residents: a guide to submitting the income tax form on your investments in Portugal

Do you enjoy non-habitual resident status (RNH) in Portugal, but have doubts about the income tax due on your investments? We prepared a tax guide for investors – from the more conservative to the bold.

The tax regime for non-habitual residents includes a number of benefits, from lower income tax rates to exemption. If you received returns on your investments in 2020 you can find all the information necessary to deal with your income tax in the Novo Banco 2021 Tax Guide, aimed at investors.

In this guide the financial products – national and foreign – are explained one by one in a simple but thorough manner. The aim is to help you fill out your income tax forms correctly, once your investments have been made. The Novo Banco 2021 Tax Guide is split into three guides, one for residents, another for non-habitual residents (the one that matter for you) and, lastly, one for non-residents.

 

What does the Novo Banco 2021 Tax Guide contain?

Each of the tax guides, including the non-habitual residents’, is organised around four major investment categories:

  1. Fixed deposits, structured deposits and savings accounts;
  2. Banking and retirement plans and life insurance: capitalisation insurance, Pensions Savings Plans and Pension Funds;
  3. Stock: shares and bonds;
  4. Investment funds: Real estate Investment Funds (RIF), Securities Investment Funds (SIF) and Foreign Investment Funds (FIF).

The three guides provide full and detailed information on the income tax for each of the analysed financial products: from tax treatment (levies and fees) with simple examples that are easy to follow to step-by-step instructions on how to fill out your tax forms.

Each guide also includes a Frequently Asked Questions section, where important tax concepts, the background and even hypothetical scenarios are explained, so that all your doubts on how income tax on your investments works will be answered.

If applicable, don’t forget to declare your investments. The period for handing in your income tax forms related to 2020 runs from 1 April to 30 June. If, meanwhile, you have already submitted your income tax form but wish to change it you may do so. The Tax Authority will consider the last form submitted before the deadline as the valid one.

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