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  • Scenic Lisbon view with historic buildings and river.
    Living in Portugal

    Understanding Taxation in Portugal

    Living in Portugal can feel like a dream come true—sunny weather, beautiful landscapes, and delicious food. But when it comes to taxes, things can get a bit tricky, especially for expats. Understanding taxation in Portugal is essential for managing your finances and ensuring compliance with local laws. This guide breaks down the key aspects of the Portuguese tax system, residency rules, and what you need to know as an expat in 2025. Key Takeaways Portugal has a progressive tax system with rates ranging from 13% to 48%. To be a tax resident, you must spend 183 days or more in Portugal within a year. Obtaining a Número de Identificação Fiscal…

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