1. 50% of the employment income and of the business and professional income of taxpayers, up to the upper limit of the first band provided for in Article 68-A(1), is excluded from taxation for a period of 5 years in the case of taxpayers who:
1 - São excluídos de tributação 50 % dos rendimentos do trabalho dependente e dos rendimentos empresariais e profissionais dos sujeitos passivos, até ao montante do limite superior do primeiro escalão previsto no n.º 1 do artigo 68.º-A, pelo período de 5 anos, que:
a) Become tax resident under Article 16(1) and (2) up to 2026;
a) Se tornem fiscalmente residentes nos termos dos n.os 1 e 2 do artigo 16.º até 2026;
b) Were not considered resident in Portuguese territory in any of the five preceding years;
b) Não tenham sido considerados residentes em território português em qualquer dos cinco anos anteriores;
c) Were resident in Portuguese territory in any period prior to that referred to in the preceding point;
c) Tenham sido residentes em território português em qualquer período antecedente ao previsto na alínea anterior;
2. Taxpayers who have applied for registration as non-habitual residents may not benefit from this article.
2 - Não podem beneficiar do disposto no presente artigo os sujeitos passivos que tenham solicitado a sua inscrição como residente não habitual.
The 50% exclusion, the cap at the upper limit of the first band in Article 68-A(1), the 5-year period, the 2026 deadline, the five-year non-residence test and the exclusion of non-habitual resident applicants are retained.
We prepare IRS returns for residents and non-residents, set up withholding for employers, and model salary versus dividends for company owners, in English. A written answer and a fixed quote within one working day.
Unofficial English translation prepared by BCA Portugal for reference. Only the Portuguese text published in the Diário da República has legal force. Editorial notes are ours and are not part of the statute.