Portugal’s New Golden Visa Rules Unveiled

In a significant move, Portuguese President Marcelo Rebelo de Sousa has officially ratified the “More Housing” bill, ushering in a wave of reforms that notably reshape the country’s Golden Visa program.

The law, which incorporates several transformative provisions, including the revamped Golden Visa rules, is now slated to undergo scrutiny in Parliament and government chambers before its anticipated publication within the next 4-8 days.

From Veto to Consent: The President’s Decision

President de Sousa’s decision to enact the legislation comes after he initially wielded his veto power to thwart its passage. However, the bill secured final approval during a second round of voting in Parliament last week, compelling the President to give his consent.

New Golden Visa Rules

With real estate investments off the table for prospective Golden Visa applicants, industry experts are forecasting a seismic shift towards the fund investment category as the preferred path for most investors.

Amidst these changes, a comprehensive list of Portugal Golden Visa funds is expected to undergo significant revisions due to the ban on real estate investment.

The New Investment Options

As of today, the new investment options for those seeking a Golden Visa are as follows:

I) Job Creation: The creation of a minimum of ten jobs.

II) Scientific Research: Transfer of capital equal to or exceeding EUR 500,000, allocated to research activities conducted by public or private scientific research institutions integrated into the national scientific and technological system.

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III) Cultural Heritage Support: Transfer of capital equal to or exceeding EUR 250,000, designated for investment or support of artistic production, preservation, or maintenance of national cultural heritage through various public and private entities engaged in these pursuits.

IV) Collective Investment: Transfer of capital equal to or exceeding EUR 500,000, earmarked for acquiring shares in specific collective investment organizations incorporated under Portuguese law. These funds must have a maturity period of at least five years and allocate at least 60% of their investments to commercial companies based in the national territory.

V) Commercial Ventures: Transfer of capital amounting to EUR 500,000 or more for establishing a commercial company with a registered office in the national territory, combined with the creation of five permanent jobs.

Alternatively, reinforcing the share capital of an existing company in the national territory is also a qualifying option, provided it leads to the creation or maintenance of at least ten jobs, with a minimum of five permanent positions, over a minimum period of three years.

Must Read: Portugal to Make it Easier for Foreigners to Obtain Citizenship

Incentives for Low-Density Territories

It’s important to note that the minimum investment requirements for options 1, 2, and 3 can be reduced by 20% when the investment is directed towards low-density territories. These areas are defined as regions with fewer than 100 inhabitants per square kilometre or a GDP per capita below 75% of the national average.

No Room for Real Estate

Crucially, the revamped Golden Visa rules now explicitly forbid any form of real estate investments, whether direct or indirect.

These new measures are set to reshape the landscape for prospective Golden Visa applicants, ushering in a new era of investment strategies in Portugal. Investors are advised to consult with legal and financial experts to navigate these changes effectively.

For more details on the evolving Portugal Golden Visa program and its investment options, stay tuned for updates and consult with qualified professionals for personalized guidance.