| GLOBAL MOBILITY
PORTUGAL
“Corporate taxation in
Cross-border mobility in Portugal
Portugal is set at a standard rate of 20%, while businesses in Madeira benefit from preferential tax rates.” Sandra Jardim Fernandes, SjF
Sandra Jardim Fernandes Head of Legal Affairs at SjF and Co-Head of Immigration Department at VCA Law Firm SjF
Dealmakers Conference, Lisbon 2018
Q1 What are the key considerations for businesses and individuals navigating cross-border mobility in your jurisdiction? Navigating cross-border mobility in Portugal involves several key considerations for businesses and individuals, including immigration, taxation, employment law, and social security compliance. For non-EU, EEA, and Swiss nationals, obtaining a visa or residence permit is essential, while EU/ EEA/Swiss nationals only need to register if they plan to stay more than 90 days. Portugal offers the Golden Visa program, a residency-by-investment option for non-EU citizens, and the Digital Nomad Visa, designed for remote workers earning at least four times Portugal’s minimum wage. Taxation in Portugal is another crucial aspect. Residents are taxed on worldwide income, while non-residents are only taxed on Portuguese-source income. Residency is established by staying at least 183 days in a year. The New Active Income Taxation (IFICI)
offers reduced taxation on foreign- sourced active income for specific professions. Additionally, the Youth Tax Regime provides reduced tax rates for young professionals under certain age and income thresholds. Corporate taxation in Portugal is set at a standard rate of 20%, while businesses in Madeira benefit from preferential tax rates. In terms of employment law, employers must comply with Portuguese labour laws, including minimum wage, working hours, and termination regulations. EU businesses posting workers to Portugal must notify authorities and ensure compliance with local labour standards. Both employers and employees are required to contribute to Portugal’s social security system, with EU rules allowing the portability of social security rights. Portugal also participates in the EU’s social security framework, facilitating the portability of benefits such as pensions and healthcare, and bilateral agreements may apply to non-EU nationals. For businesses looking to operate in Portugal, foreign companies must register with the Commercial Registry and obtain a Portuguese Tax Identification Number (NIF). Employers transferring staff to Portugal need to ensure compliance with
Sandra Jardim Fernandes is a renowned legal expert specialising in Immigration Law and Foreign Investment, with a strong focus on real estate, corporate law, and investment funds. As Co-Head of the Immigration Department at leading law firm VCA and Head of Legal Affairs at SjF Immigration & Investments, Sandra offers comprehensive, one-stop solutions for immigration, legal, investment, and concierge services. She is a leading authority on Portugal’s Golden Visa Program, as well as the D7, D8, and other residency programs, expertly guiding clients through the complexities of residency acquisition. Sandra ensures full compliance while tailoring strategies to maximise individual client benefits. Her expertise also covers real estate investment, tourism ventures, and corporate transactions. Sandra’s executive management experience in hotel administration provides valuable insights into business operations. A Fellow Member of the Investment Migration Council (IMC) and an active participant in the International Bar Association (IBA), she is also recognised as a trusted legal advisor by the UK Embassy in Portugal. Since 2014, Sandra has been a sought-after speaker at international conferences, sharing her knowledge on immigration and foreign investment. Known for her professionalism and multicultural insight, Sandra is a respected figure in the global legal community.
+351 962 778 990 sandra.jfernandes@sjf.pt irglobal.com/advisor/sandra-fernandes
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