Portugal Passive Income D7 Visa

Passive income earners, including retirees, who intend to move to Portugal may advantageously apply for a specific residence permit, known as the Portugal Passive Income Visa, also known as D7 Visa, for a special tax status that grants them a 10-year income tax break.

Qualifying for the Portugal Passive Income D7 Visa

The Portugal Passive Income Visa, or D7 Visa, is a part of the Portugal residence permit program.

​Non-EU/EEA/Swiss citizen who intend to relocate to Portugal and have a reasonable net regular passive income can apply for this route to residency. The subsequent residence permit does not preclude the holder from having a professional activity in Portugal. Therefore, this is generally one of the best alternatives to the Golden Visa for someone who actually intends to live in Portugal over an extended period of time.

A Portugal Passive Income D7 Visa or permit can only be applied for after a series of residence applications are filed by the main applicant at the Portuguese Consulate. Once this is issued, his/her immediate family members are also entitled to enter into the Portugal residence permit program under the “family reunification” regulations.

Passive Income D7 Visa permits are issued as credit-card sized ID cards (similar to those of the Golden Visa and are registered with the Schengen Space central system, thereby entitling the holders to enter all Schengen Space adherent European countries with no need for a visa). Do not hesitate to get in touch with us should you wish to learn more about any of the above or about the Portugal residence permit program.

Benefits of the Portugal Passive Income D7 Visa

Free Circulation

Permanent free entry and circulation in the Schengen Space, comprising 26 European countries.

Live in Portugal

Freedom to live in Portugal and, if so wished, to have a professional activity in this country.

Tax Benefits

Option to become a

non-habitual resident of Portugal for tax purposes (little or no tax for 10 years).

Resident’s Rights

Access to other Portugal residents’ rights, such as education, healthcare, social security.

Portugal residence Permit Application Requirements

Having acquired permanent residency rights for having resided in Portugal for a period of 5 years, an EU citizen and his/her dependent relatives will only lose such rights in the event of an absence from Portugal for a period that exceeds 2 consecutive years or in the event a valid decision is made to expel him/her from the country.

1. Bank account and accommodation in Portugal

The applicant for a Portugal passive income D7 visa as part of the Portugal residence permit program must begin the proceedings, completing this checklist:

• Open a banking account in Portugal.
• Secure long-term accommodation in Portugal (by either buying, renting or borrowing a property).
• Apply online for a residence visa and for an appointment for an interview at the Portuguese Consulate serving his/her current region of legal residence, even if the applicant’s nationality entitles him/her to enter Portugal without a visa.

2. Visa application at the Portuguese Consulate

​The exact requirements of each consulate may vary but all consulate interviews will require the following documentation:

• Passport, valid for at least 6 months after the expiry date of the Portugal passive income visa being applied for (which will be valid for 4 months)
• Two recent passport-size colour photos
• Declaration outlining reasons for obtaining Portuguese residency
• Health insurance policy or affidavit stating that this will be bought in Portugal within 90 days of arrival
• Criminal record certificate (or police clearance letter)
• Documentary evidence of having accommodation in Portugal (property title deed, rental agreement or property loan agreement)
• Documentary evidence of sufficient finances available to the applicant in Portugal (e.g. a Portugal bank statement showing a reasonable balance)
• Documentary evidence of having a reasonable net regular passive income

3. Residence permit program application in Portugal

​A special visa, as outlined above, is required for entering Portugal when applying for the Portugal passive income D7 visa permit.

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The special visa allows for a maximum of two entries and a stay in the country of up to 4 months. Once in Portugal, you will need to submit the following documents in order to apply for the residence permit (known in some areas as Portugal residence permit program):

• Passport having the special visa issued by the Portuguese Consulate
• The documentary evidence of having sufficient financial means and permanent accommodation in Portugal, as submitted to the Portuguese Consulate
• Health insurance policy in case you bought it in Portugal
• Various Portuguese documents that your lawyer can obtain on your behalf

How to Renew the Portugal Passive Income D7 Visa

As part of the Portugal residence permit program, the Portugal passive income visa must be renewed at the end of two years and then every three years after. Subject to passing a language test of basic Portuguese, the holder of a passive income permit may apply for permanent residency or citizenship at the end of 5 years.

What are the minimum stay requirements

The holder of a temporary residence permit (such as the Portugal passive income D7 visa and not including the Golden Visa), is expected to be, at least, 16 months in the country per the first 2-year period and 28 months per the subsequent 3-year period provided no absence exceeds 6 consecutive months. For the holder of a permanent residence permit, this is increased to a minimum of 30 months during each 5-year period, provided no absence exceeds 24 consecutive months.

* Please not that absence periods may be exceeded for duly proven professional or force majeure reasons.

How much does it cost to obtain a Portuguese Passive Income Permit?

The Government fees for this type of temporary residence visa permit are not significant (between €45.90 and €276.80 per applicant). The primary costs the applicant will incur are relocation expenses and professional fees. Alternative routes to acquiring residency are more expensive.