Even before the introduction of a dedicated visa, Portugal was already a top destination for digital nomads worldwide. The mild climate, high quality of life, relatively affordable cost of living (especially compared to other Western European countries), and widespread English proficiency have all contributed to its popularity.
Now, the country is taking things a step further. The new 2025 Government Programme includes a bold proposal: the introduction of specific tax incentives for digital nomads.
What Does the New Government Programme Say?
The official document clearly states the intention to:
“Relaunch the digital nomad attraction programme, creating competitive conditions compared to other countries, particularly in terms of taxation”.
Although the details have not yet been disclosed, this signals a significant shift in the Portuguese government’s strategic direction — especially following the gradual dismantling of the Non-Habitual Resident (NHR) regime.
What Could This Mean in Practice?
While no concrete legislation has been released, the new programme suggests a possible revival of favourable tax frameworks tailored specifically to remote workers and location-independent professionals. Here’s what could be coming:
- Lower tax rates on foreign-sourced remote income for individuals residing in Portugal but working for companies abroad.
- Creation of a new special tax regime — potentially similar to the former NHR scheme — exclusively for digital nomads.
- Simplified requirements for proving income and establishing tax residency, making it easier for freelancers and remote workers to comply with the rules.
Portugal is positioning itself to compete directly with countries like Spain, Italy, and Croatia, which have already implemented targeted tax benefits for digital nomads. By aligning its tax policy with this global trend, Portugal may not only retain more international talent but also attract new profiles of investors, entrepreneurs, and consumers.
How Should Digital Nomads Prepare?
If you’re already living in Portugal or planning to relocate, now may be the perfect time to:
- Reassess your tax structure and employment model with guidance from a legal expert;
- Closely monitor official announcements to stay informed about eligibility, deadlines, and specific requirements;
- Evaluate your professional and personal profile to determine whether you will qualify under the upcoming regulations.
What Does This Mean for the Future?
The message is clear: Portugal wants to remain an attractive and competitive base for digital nomads. With new tax advantages on the horizon, the country is likely to see another wave of remote professionals choosing Portugal as their long-term base. Those who act early will be better positioned to benefit from the upcoming changes.
Need Legal Guidance on the Upcoming Tax Regime for Digital Nomads?
FLOW Legal is closely monitoring all legislative developments that impact the international community in Portugal. We provide tailored support to digital nomads — from planning your move, securing the correct visa, to structuring your taxes and legal presence efficiently.
Ready to explore how you could benefit from the new rules?
Book a consultation with our legal team today.
This content is for informational purposes only and does not replace legal advice. Consulting a qualified immigration and tax lawyer ensures a safer and more successful relocation process.
