Update: Portugal’s NHR 2.0 Regime Now Regulated

The old NHR transitory rules have finally closed and the new NHR 2.0 is now regulated.

The 2024 Budget Law has introduced NHR 2.0 (or IFICI), a redesigned tax incentive replacing the prior NHR regime. This regime offers significant benefits for international professionals and businesses choosing Portugal as their base and has several possible entry points that deserve to be further explored.

🔑 Key Highlights of NHR 2.0:

✅ A 20% flat tax rate on qualifying Portuguese-source income.

✅ Exclusion from tax for foreign-sourced business profits, employment, royalties, dividends, interest, rents, and capital gains.

✅ Only foreign pensions and income from blacklisted jurisdictions remain taxable.

Listen to our summary:

Ministerial Order 352/2024/1, published in late December, regulates NHR 2.0, clarifying its application and providing the following details:

➡ Registration rules.

➡ Approved high-value professions.

➡ Qualifying industrial and service activities.

Read the Kore Partners breakdown below:

Portugal’s tax landscape continues to evolve - and we will provide further updates.

Reach out to the Kore Partners team if you’d like to explore how these changes could impact your tax strategy!

Thank you.

© Kore Partners, 2025

This briefing provides for general information and is not intended to be an exhaustive statement of the law. Although we have taken care to provide accurate information, this should not replace legal advice tailored to your specific circumstances. This briefing is intended for the use of clients and selected recipients. Queries or comments regarding this, including joining our mailing list, can be directed to kore@korepartners.com