Golden Visa in Portugal now abolished? No!

What is the Golden Visa in Portugal?

When a non-EU citizen wants to live in Europe it is not that  easy… The Golden Visa provides a great opportunity in this matter! Just invest (for example in real estate) and get a residence in a country with high quality of live and a good climate, very safe (number three in the world) and get access to the most other European countries. And as a ‘cherry on the cake’ get after 5 years Portuguese (EU) – citizenship. Go for it!

Why apply for the Golden Visa program?

1. Permanent free entry and circulation in Portugal and the other 26 Schengen countries.
2. Freedom to live and/or work in Portugal. And! the minimum stay requirements are 7 days in the first year and 14 days during each of the two subsequent 2-year periods, whether or not consecutive, while keeping another residence (if so wished) in another country. So complete freedom!
3. Option to become a “non-habitual resident” of Portugal for tax purposes, thereby paying little or no tax for 10 years (see before!).
4. Option to obtain permanent resident status after 5 years of having made the initial investment.
5. Option to acquire Portuguese citizenship after 5 years of having made the initial investment.
6. The benefits are extensible to the investor’s family, including the spouse or partner, under-aged or dependent children of either spouse or partner, dependent parents of either spouse or partner, and under-aged siblings of either spouse or partner if legally under their supervision.
7. Flexible and affordable investment options.

Your rights as a resident?

As a resident of Portugal under the Golden Visa Portugal program, you will be entitled to access at least the following with no need for any special authorization:

• Education and professional training
• Official recognition of education diplomas and professional qualifications
• A professional activity, as an employee or as an independent professional
• Healthcare
• Social security benefits, tax concessions and trade union protection
• The law and the courts of law

The ways to get the Golden Visa?

1. real estate investment between 290.000 EUR and 500,000 EUR into Portuguese properties. This method of utilizing the Portugal investment visa allows you to purchase property(ies) solely or as a co-ownership agreement. The variation in investment cost is dependent on purchasing requirements outlined in the Golden Visa scheme.
2. scientific investment of €350,000 (minimum) to an accredited institution that will benefit the national scientific and technological infrastructure, (typically in a ‘low density area’) can be accepted as part of the Portugal Investment Visa program. Please note, that this is only possible when such accredited projects are ongoing.
3. An investment of €250,000 (minimum) to, or in support of, artistic production and sustaining the national cultural heritage. This is also only available when accredited institutions are conducting appropriate projects. Often projects are not available to private investors.
4. Investing €350,000 (minimum) in Portugal-regulated funds dedicated to the capitalization of companies. This investment type is conditional on the company; it must be at least 60% Portuguese registered business and the maturity of units is no less than 5 years old from the date they are bought.  TIP: Alternatively, the same sum can be invested in setting up your own private Portuguese company that creates 5 permanent jobs or investing the share capital that creates the opportunity for an existing Portuguese company to create 5 permanent jobs. This can also be in the format of a single-member private limited company in which no minimum investment is required. The LTD (Lda in Portugal) must demonstrate 10 sustainable job opportunities.

5. INVEST 1.000.000 EUR IN PORTUGAL.
   This is the most flexible method of obtaining visa access to Portugal. You can make a bank deposit, purchase shares in a Portuguese company or the incorporation of a single- member private limited company by paying the share capital of at least €1 million; such company can be free to invest wherever and in whatever it wants. Alternatively, an equivalent purchase of Portugal sovereign debt instruments or purchase of any securities issued by Portugal-based entities. Requirements for the Portugal investment visa program can be reduced if investment is made in a designated ‘low density area’.

Family reunion

At any time upon or after your application, you may apply for the following family members:

• Spouse or partner, the quality of partner having to be proved under existing law.
• Under-18-year-old children, dependent incapable children, or over-18 dependent children who are under 26, unmarried and enrolled as full-time students. Portugal, Your Tax-friendly Escape in ‘Uncertain’ Days!25
• Dependent parents of either spouse or partner, who, if under 65, have to obtain a certificate of no income from the tax administration of their country of residence.
• Under-18-year-old siblings of either spouse or partner if legally under their supervision. If you are a prospective applicant or would like to explore your options to obtaining a residency in Portugal, get in touch with a member of our expert team. We are also equipped to assist you or connect you with relevant parties for making your initial investment. Non-EU/EEA/Swiss citizen who intend to relocate to Portugal and have a reasonable net regular passive income can apply for this route to residency. The subsequent residence permit does not preclude the holder from having a professional activity in Portugal. Therefore, this is generally one of the best alternative to the Golden Visa for someone who actually intends to live in Portugal over an extended period of time.

BUT CHANGES??? Will it be abolished?

The current government, in which the Socialists have the absolute majority, wants to abolish the Golden Visa program because the real estate market is allegedly becoming unaffordable. Real estate prices have become very expensive in Portugal. But those who opt for a Golden Visa are wealthy foreigners who will not compete with the average hard-working Portuguese. So that reasoning is nonsense, and many did not buy real estate but invested in funds which greatly benefited Portugal.

After being admitted by the President of the Assembly, the general aspects of the proposal that aims to end the Golden Visa program – among other topics – were today discussed in plenary today, and as expected, the majority of the House voted in favor of the proposal.

Now the proposal will be discussed – article by article – in a specialized committee, and the final text will be submitted to a general vote, also in plenary, which has yet to be scheduled.

Only after that final vote and approval will the proposal be sent to the President of the Republic, who will decide on its publication as a law in the Official Journal of the Republic. This may take several weeks. This means that the Golden Visa program is still alive, and SEF is still receiving new applications, so investors in a position to continue investing can continue to do so to take advantage of the current arrangement. We will continue to provide updates as soon as the situation changes.

But even if the Golden Visa disappears, there is still the Visa D, which we have ALWAYS supported! Read more!

VISA D: THE HIDDEN GATE TO RESIDENCY AND CITIZENSHIP IN EUROPE

A Portugal passive income D7 visa or permit can only be applied for after a series of residence applications are filed by the main applicant at the Portuguese Consulate. Once this is issued, his/her immediate family members are also entitled to enter into the Portugal residence permit program under the “family reunification” regulations.

Passive income D7 visa permits are issued as credit-card sized ID cards (similar to those of the Golden Visa and are registered with the Schengen Space central system, thereby entitling the holders to enter all Schengen Space adherent European countries with no need for a visa). 

Do not hesitate to get in touch with us should you wish to learn more about any of the above or about the Portugal residence permit program.
Benefits Of The Portugal Passive Income D7 Visa.

The process for a passive income D7 visa is considerably faster and less costly to obtain than a Golden Visa and also entitles the holder to the main benefits of Portugal residency, namely:

• Permanent free entry and circulation in the SchengenSpace, comprising 26 European countries.
• Freedom to live in Portugal and, if so wished, to have a professional activity in this country.
• Option to become a non-habitual resident (NHR) of Portugal for tax purposes (little or no tax for 10 years on most foreign-source income)Access to other Portugal residents’ rights, such as education, recognition of diplomas and qualifications, healthcare, social security, trade union protection, the law and the courts of law. Portugal Residence Permit Program Application

Requirements

The applicant for a Portugal passive income D7 visa as part of the Portugal residence permit program must begin the proceedings, completing this checklist:

• Open a banking account in Portugal.
• Secure long-term accommodation in Portugal (by either buying, renting or borrowing a property).
• Apply online for a residence visa and for an appointment for an interview at the Portuguese Consulate serving his/ her current region of legal residence, even if the applicant’s nationality entitles him/her to enter Portugal without a visa.

Except in the case of duly justified personal or professional reasons, the holder of a temporary residence permit (such as the Portugal passive income D7 visa and not including the Golden Visa), is expected not to be away from Portugal for more than 6 consecutive months or 8 non-consecutive months during the validity of each permit, being the first one granted valid for 24 months and the second one for 36 months.

WHAT ARE THE MINIMUM STAY REQUIREMENTS?

Either 24 consecutive months or else 30 non-consecutive months in any given period of 3 years. SO THIS IS THE BIG DIFFERENCE WITH THE GOLDEN VISA, with the GOLDEN VISA you can still live outside Portugal. You have complete freedom, this you don’t have with the Visa D. As such, this type of VISA is specifically recommended for individuals that actually want to live in Portugal or else in another country within the Shengen area…

Contact us for more info! On: info@dehoon-dhp.com