NHR 2.0 (IFICI)
Who it’s for
The IFICI (often referred to as “NHR 2.0”) is aimed at qualified individuals relocating to Portugal who become Portuguese tax residents and perform eligible activities linked to scientific research, innovation, and qualified roles.
Specially suited for
Highly qualified professionals
in eligible roles (e.g., executive management, directors, engineering/science specialists, doctors, university professors, ICT specialists), typically subject to specific qualification/experience requirements.
Higher education teaching and scientific research profiles
(including certain research roles), with applications reviewed through the relevant competent authority.
Qualified roles in eligible companies/sectors
including certain export/industry/service activities, and roles connected to recognised investment projects (depending on the route and the competent authority involved).
Startup ecosystem profiles
including workers (and in some cases members of corporate bodies) in entities certified as startups.
Key eligibility filter: you generally need to become tax resident in Portugal and have been non-resident in Portugal in the previous 5 years.
Key Benefits
20% special IRS rate on qualifying work income
Eligible Portuguese-source employment (Category A) and self-employment (Category B) income can be taxed at a flat 20% rate, provided you meet the regime’s requirements.
Foreign-source income: generally exempt (with important exceptions)
As a general rule, foreign-source income is exempt from IRS, except pensions (Category H). Separate anti-abuse rules apply to income linked to “blacklisted” jurisdictions (35% taxation in certain cases).
10-year benefit period (with flexibility if you leave and return)
The regime applies for 10 consecutive years and, if your Portuguese tax residency is interrupted, it may be resumed for the remaining years once you become resident again and regain qualifying income.
How the application works
A step-by-step overview of the IFICI registration process, from confirming eligibility to applying the special tax rate.
1
Confirm eligibility + the right “route”
We start by checking whether you meet the core conditions (including becoming Portuguese tax resident) and which IFICI pathway applies to your role and the entity you’ll work for.
2
Identify the competent authority for your case
Your IFICI request is filed with a specific competent entity depending on the activity (e.g., FCT, AICEP, AT, IAPMEI, ANI, or Startup Portugal).
3
Prepare the supporting documentation
Typical documents include (as applicable): employment contract / evidence of the role, corporate documents if you’re a board member, scholarship contract for research, proof of academic qualifications, and other documents requested by the competent entity.
4
Submit the IFICI registration request (by the deadline)
Once you’re registered as resident for Portuguese tax purposes, the request must generally be submitted by 15 January of the year following the year you became resident.
5
Employer/entity confirmation (where required)
Employer/entity confirmation (where required)In some cases (notably certain “highly qualified” routes), the company where you perform the activity must confirm requirements in its Portal das Finanças area (deadline referenced as 15 March).
6
Status update and proof on the Portal das Finanças
The competent entity communicates the request to the Tax Authority electronically, and the Tax Authority makes the status available in your Portal das Finanças area (with a downloadable proof of status).
7
Apply the correct withholding and keep records
Once you’ve submitted the request, you can typically provide proof of submission to the payer to apply the 20% withholding on qualifying income (when applicable). You must also keep supporting documents and report changes if your situation stops meeting the requirements.