Expat Taxes

Go Back   Expat Forum For People Moving Overseas And Living Abroad > Europe > Portugal Expat Forum for Expats Living in Portugal

Portugal Expat Forum for Expats Living in Portugal The Portugal Expats forum is a community of people that have moved to Portugal from all over the World. This is the place for Expats to meet and discuss all aspects of the Portuguese way of life. Discuss anything from jobs, property in Portugal, culture, food, history and more.

Expat Taxes


Reply
 
Subscribe to this Thread Thread Tools
  #1 (permalink)  
Old 25th July 2019, 06:27 PM
New Member
 
Join Date: Jul 2019
Location: USA
Posts: 9
Rep Power: 0
Moretothestory is on a distinguished road

Users Flag! Originally from usa.
Arrow Expat Taxes

Slowly learning the tax laws of Portugal as applies to US citizens. I am appalled that apparently I must pay up to 48% of my investment income to Portugal and whatever amount in U.S. taxes to the U.S. on that same income.

In other words, I must pay the usual U.S. tax on capital gains, dividends and SS, and 2 or 3 times that to Portugal. At that rate, I don't see how the average person can afford to retire in Portugal unless money is no object. Obviously, I need to consult with a tax professional.

Thanks,
MTTS

Reply With Quote Quick reply to this message
  #2 (permalink)  
Old 26th July 2019, 05:56 AM
Member
 
Join Date: Jun 2011
Location: Nodeirinho Portugal by way of the UK & South Africa
Posts: 2,910
Rep Power: 1750
travelling-man has a reputation beyond reputetravelling-man has a reputation beyond reputetravelling-man has a reputation beyond reputetravelling-man has a reputation beyond reputetravelling-man has a reputation beyond reputetravelling-man has a reputation beyond reputetravelling-man has a reputation beyond reputetravelling-man has a reputation beyond reputetravelling-man has a reputation beyond reputetravelling-man has a reputation beyond reputetravelling-man has a reputation beyond repute
911 likes received
922 likes given

Users Flag! Originally from uk. Users Flag! Expat in portugal.
Default

Once resident here you can register for NHR status which gives you a 10 year tax holiday on most but not all overseas income

Reply With Quote Quick reply to this message
  #3 (permalink)  
Old 27th July 2019, 09:37 AM
Member
 
Join Date: Sep 2015
Location: Bayern
Posts: 371
Rep Power: 95
Strontium is a glorious beacon of lightStrontium is a glorious beacon of lightStrontium is a glorious beacon of lightStrontium is a glorious beacon of lightStrontium is a glorious beacon of lightStrontium is a glorious beacon of light
143 likes received

Users Flag! Originally from uk. Users Flag! Expat in spain.
Default

The average person (I'm taking an average UK person) on state pension (about 170 gbp a week equates to 730 a month) compared to

The official minimum salary in Lisbon is of 600 euros per month as of 2019. That is the same minimum salary as in the rest of Portugal,

People tend to want to live here because of it being Portugal, if you live in a local community you can live in a similar way to the locals and have a wonderful, relaxed and interesting life, the food, wine, coffee, plants, history, medical services,social life, music, arts, festivals, beaches, fish and fishing etc can be amazing and not really dependent on additional income.

Obviously if you want a golden visa and to live in a golden visa gated community that may be different.

Reply With Quote Quick reply to this message
Sponsored Links
Advertisement
 
  #4 (permalink)  
Old 29th July 2019, 03:02 PM
New Member
 
Join Date: Jul 2019
Location: USA
Posts: 9
Rep Power: 0
Moretothestory is on a distinguished road

Users Flag! Originally from usa.
Default

NHR status, as I understand it, limits the number of days per year that someone can live in Portugal. If that is so, I would have to pack up and leave my apartment with my belongings and live somewhere else for the remainder of the year. And, from what I read, property rights are at the discretion of the locals.
=MTTS

Reply With Quote Quick reply to this message
  #5 (permalink)  
Old 29th July 2019, 03:13 PM
Bevdeforges's Avatar
Super Moderator
 
Join Date: Nov 2007
Location: deepest, darkest Essonne
Posts: 45,436
Rep Power: 23231
Bevdeforges has a reputation beyond reputeBevdeforges has a reputation beyond reputeBevdeforges has a reputation beyond reputeBevdeforges has a reputation beyond reputeBevdeforges has a reputation beyond reputeBevdeforges has a reputation beyond reputeBevdeforges has a reputation beyond reputeBevdeforges has a reputation beyond reputeBevdeforges has a reputation beyond reputeBevdeforges has a reputation beyond reputeBevdeforges has a reputation beyond repute
9410 likes received
1224 likes given

Users Flag! Originally from usa. Users Flag! Expat in france.
Default

Quote:
Originally Posted by Moretothestory View Post
Slowly learning the tax laws of Portugal as applies to US citizens. I am appalled that apparently I must pay up to 48% of my investment income to Portugal and whatever amount in U.S. taxes to the U.S. on that same income.

In other words, I must pay the usual U.S. tax on capital gains, dividends and SS, and 2 or 3 times that to Portugal. At that rate, I don't see how the average person can afford to retire in Portugal unless money is no object. Obviously, I need to consult with a tax professional.

Thanks,
MTTS
Before you go paying a (high priced) tax adviser, download IRS publication 54. If you are an overseas resident, there are some ways to avoid double taxation on things like investments. The key thing is the FTC (foreign tax credit) - where you can essentially deduct the income tax you pay to your country of residence (Portugal) from the tax incurred on that income in the US.

You may also want to take a look at the Expat Tax section of our forums here.
https://www.expatforum.com/expats/expat-tax/

Reply With Quote Quick reply to this message
  #6 (permalink)  
Old 29th July 2019, 03:44 PM
Member
 
Join Date: Jun 2011
Location: Nodeirinho Portugal by way of the UK & South Africa
Posts: 2,910
Rep Power: 1750
travelling-man has a reputation beyond reputetravelling-man has a reputation beyond reputetravelling-man has a reputation beyond reputetravelling-man has a reputation beyond reputetravelling-man has a reputation beyond reputetravelling-man has a reputation beyond reputetravelling-man has a reputation beyond reputetravelling-man has a reputation beyond reputetravelling-man has a reputation beyond reputetravelling-man has a reputation beyond reputetravelling-man has a reputation beyond repute
911 likes received
922 likes given

Users Flag! Originally from uk. Users Flag! Expat in portugal.
Default

Quote:
Originally Posted by Moretothestory View Post
NHR status, as I understand it, limits the number of days per year that someone can live in Portugal. If that is so, I would have to pack up and leave my apartment with my belongings and live somewhere else for the remainder of the year. And, from what I read, property rights are at the discretion of the locals.
=MTTS
Whoever told you that was wrong................ You have to stay in PT for a minimum number of days per year but you're not limited to a maximum number of days.


Last edited by travelling-man; 29th July 2019 at 03:52 PM.
Reply With Quote Quick reply to this message
  #7 (permalink)  
Old 30th July 2019, 12:37 AM
New Member
 
Join Date: Jul 2019
Location: USA
Posts: 9
Rep Power: 0
Moretothestory is on a distinguished road

Users Flag! Originally from usa.
Default

Thanks to everyone who left a comment. I plan to spend a few weeks in Portugal next March or April to get a better idea of what I want to do. Of course one thing of importance to most expats is health care. In my case I would be paying for private insurance, but I am not familiar with how that system works. Are there offices, hospitals and facilities that are totally private? Do I need to be in one of the larger cities for this type of health care?

Thank you,
MTTS

Reply With Quote Quick reply to this message
  #8 (permalink)  
Old 30th July 2019, 10:14 AM
JohnBoy's Avatar
Member
 
Join Date: Oct 2009
Location: Coimbra
Posts: 806
Rep Power: 883
JohnBoy has a reputation beyond reputeJohnBoy has a reputation beyond reputeJohnBoy has a reputation beyond reputeJohnBoy has a reputation beyond reputeJohnBoy has a reputation beyond reputeJohnBoy has a reputation beyond reputeJohnBoy has a reputation beyond reputeJohnBoy has a reputation beyond reputeJohnBoy has a reputation beyond reputeJohnBoy has a reputation beyond reputeJohnBoy has a reputation beyond repute
348 likes received
416 likes given

Users Flag! Originally from uk. Users Flag! Expat in portugal.
Default

Quote:
Originally Posted by Moretothestory View Post
Thanks to everyone who left a comment. I plan to spend a few weeks in Portugal next March or April to get a better idea of what I want to do. Of course one thing of importance to most expats is health care. In my case I would be paying for private insurance, but I am not familiar with how that system works. Are there offices, hospitals and facilities that are totally private? Do I need to be in one of the larger cities for this type of health care?

Thank you,
MTTS
The private medical facilities here are extensive and excellent. We have three private hospitals in Coimbra and one of these has a 24 hour emergency room. Everything is readily available from simple consultations right up to the most modern diagnostics. Scattered throughout the city are numerous smaller clinics and laboratories for tests and consultations.

My one big bug bear is that the vast majority of the doctors have no reasonable attitude towards time keeping. They will usually turn up late for their first appointment of the day citing bad traffic or finishing late at the public hospital. Of course this means that they continue to run late throughout their shift. We usually try for the first appointment and have often sat there and seen others shown through before us that had been booked privately by the doctor without reference to the poor receptionist who is then left to take the flack. There are exceptions and my dermatologist at least is an excellent time keeper. Thanks Margarida!

Reply With Quote Quick reply to this message
  #9 (permalink)  
Old 2nd August 2019, 02:35 PM
New Member
 
Join Date: Jul 2019
Location: USA
Posts: 9
Rep Power: 0
Moretothestory is on a distinguished road

Users Flag! Originally from usa.
Arrow

I'm glad to hear that private medical services are readily available. What is the method that most people use to pay for the expenses? Is it best to just pay the full price out of pocket, or rather sign up for a private insurance plan?

Strontium, your post says that you are an expat in Spain. Do you also have experience living in Portugal?

Thank You!
MTTS

Reply With Quote Quick reply to this message
  #10 (permalink)  
Old 2nd August 2019, 06:41 PM
Member
 
Join Date: Sep 2015
Location: Bayern
Posts: 371
Rep Power: 95
Strontium is a glorious beacon of lightStrontium is a glorious beacon of lightStrontium is a glorious beacon of lightStrontium is a glorious beacon of lightStrontium is a glorious beacon of lightStrontium is a glorious beacon of light
143 likes received

Users Flag! Originally from uk. Users Flag! Expat in spain.
Default

Yes, as you know (?) there are no borders nor different currency so working in one country and living in another and poping into a third one for a weekend to get some shopping (cheese) is normal....or have you not bothered to spent any time in Portugal/Spain/France/Gibraltar?

Reply With Quote Quick reply to this message
Reply


Quick Reply
Message:
Options

Register Now

In order to be able to post messages on the Expat Forum For People Moving Overseas And Living Abroad forums, you must first register.
Please enter your desired user name, your email address and other required details in the form below.
User Name:
Password
Please enter a password for your user account. Note that passwords are case-sensitive.
Password:
Confirm Password:
Email Address
Please enter a valid email address for yourself.
Email Address:
Location
Where you live
Expat From Country
Please select the country you originate from. This will appear as a flag when you make posts on the site.
Expat To Country
Please select the country you have either moved to or want to relocate to. This will be presented on the site when you make posts.

Log-in


Thread Tools

Posting Rules
You may post new threads
You may post replies
You may not post attachments
You may not edit your posts

BB code is On
Smilies are On
[IMG] code is On
HTML code is Off
Trackbacks are Off
Pingbacks are Off
Refbacks are Off


FORUM PARTNERS

ExpatForum.com is owned and operated by VerticalScope Inc.

Retiring Overseas Guides | Moving Overseas Guides | Cost of Living | Health Care Guides


All times are GMT. The time now is 12:18 PM.


Powered by vBulletin®
Copyright ©2000 - 2019, vBulletin Solutions, Inc.
Search Engine Friendly URLs by vBSEO
vBulletin Security provided by vBSecurity v2.2.2 (Pro) - vBulletin Mods & Addons Copyright © 2019 DragonByte Technologies Ltd.