Frequently Asked Questions (FAQ)

  • The Portugal Golden Visa, also known as the Residence Permit for Investment (ARI), is a residency program for non-EU nationals allowing them to live, work, and study in Portugal as well as providing the flexibility to travel in the Schengen Area.

  • It has been in force since October 2012 and is overseen by The Portuguese Immigration and Borders Service (SEF).

  • You can apply for the Portugal Golden Visa if you are a non-EU, non-EEA, and non-Swiss citizen. You must have a clean criminal record, execute an eligible investment, and collect all the necessary documents.

  • The Portugal Golden Visa allows its holders to live, work, and study in Portugal as well as providing the flexibility to travel in the Schengen Area. Among others, the program allows you to benefit from an attractive tax regime (NHR) and include your family members.

  • Investment funds have lower initial costs compared to real estate acquisitions; 0-5% subscription fees vs. 6.5% property transfer tax (IMT). Also, funds are tax efficient since you pay 0% on dividends, while rental income is subject to 28% tax.

  • The Portugal Golden Visa is a 5-year program. The initial residency card is valid for 2 years and is then renewed for 2 years with a final 1-year extension.

  • You must spend at least 7 days each year (or 14 days in 2 years) in Portugal and must keep a clean criminal record.

  • U.S. citizens are eligible to invest in the Portuguese Golden. However, according to the Foreign Account Tax Compliance Act (FATCA), some funds may not accept U.S. citizens. Make sure you are aware of your obligations as a Passive Foreign Investment Company (PFIC) investor. PFICs are non-U.S. investment funds, such as: mutual funds, hedge funds, and exchange traded funds that are subject to tax and must be reported to the IRS.

  • Yes, you may apply remotely by providing the necessary PoAs to your legal representative. However, you will need to travel to Portugal for your biometrics appointment and to retrieve your residency card as well as for renewals.

  • Yes, you may only spend 180 days in every 360-day period.

  • No, the Portuguese Golden Visa will only allow you to live in Portugal. For other EU countries, you must apply for a separate permit.

  • The application process can take anywhere between 8-12 months, from the initial online application to receiving your 1st residency card (including the biometrics appointment).

  • The Portuguese government charges €12.403 per person over the 5-year period. Other costs include legal expenses, purchasing/investment costs, and consultancy costs. For a full breakdown of costs, please reach out to us.

  • Yes, you receive the right to apply for citizenship after fulfilling the requirements of the 5-year Golden Visa program and successfully passing a Portuguese language test.

  • The Portuguese language test is relatively straightforward (CEFR A2 level). The test has both an oral and written component, and to pass the exam the applicant is only required to get a mark of 55%.

Program

Investment Funds

  • To qualify for the Portugal Golden Visa, investors must invest at least €500,000. You can diversify across funds and each fund has a different minimum investment threshold.

  • No, only investment funds or venture capital funds or funds dedicated to the capitalization of companies, capital injected under the Portuguese legislation, whose maturity, at the moment of the investment, is, at least, of five years and, at least, 60% of the investments is realized in commercial companies with head office in the national territory qualify for the Portugal Golden Visa.

  • Yes, you may diversify across funds according to each fund’s minimum investment level as determined on the fund’s Management Regulation.

  • You may exit your investment immediately if the fund keeps a cash reserve and can accommodate it. Otherwise, you will need to sell your participation units in the secondary market.

  • If you liquidate your investment before receiving your permanent residency or citizenship, then you will be disqualified from the program.

  • As long as the fund is active and registered on CMVM there are no issues. If, however, the fund closes before you receive your permanent residency or passport, then you will jeopardize your application.

  • Make sure the fund you are investing in is registered on the capital markets board (CMVM in Portugal). You must also conduct a thorough research on the relevant parties involved in managing and operating the fund in question.

  • That varies from fund to fund. Each fund will have a different investment strategy and therefore a different return profile. Most funds payout a dividend and share the upside from the exit with the investor.