NHR (Legacy / pre-2024)
- Flat rate
- 20%
- Duration
- 10 years
- Legal basis
- Art. 16(8)–(12) CIRS (transitional, Lei 82/2023)
Eligibility
- Became Portuguese tax resident before 2024 cut-off
- Not a Portuguese tax resident in any of the 5 prior years
- Registered as NHR with AT (Autoridade Tributária)
Non-Habitual Resident — Legacy regime
The original NHR regime, closed to new applicants since 2024 but grandfathered for those already enrolled. Key benefits over the 10-year window:
- 20% flat rate on Portuguese-source Cat. A and Cat. B income from high value-added activities (HVA list).
- Foreign Cat. A / B / E / F / G income exempt under double-taxation-treaty conditions (income that may be taxed in the source state).
- Foreign pensions (Cat. H) taxed at 10% flat — the headline retiree benefit.
After the 10-year window expires you fall back to standard IRS.