Why now is the best time for South Africans to apply for Portugal’s Golden visa

Source: Mail & Guardian, 15/07/2020

A bit about Portugal’s Golden Visa Programme
The Golden Visa, or Golden Residence Permit Programme (GRPP) is a
residency-by-investment programme that affords you residency
rights in Portugal. With this visa, you and your family can live
and work in Portugal and enjoy visa-free travel to many countries.
Golden Visa residency requirements are undemanding. You’re not
required to move to Portugal once your visa has been granted. To
meet the minimum residency requirement, you only need to spend
seven days in the country per year. This makes this programme a
sound offshore investment, which can secure your family’s future
with minimum hassle.
After holding a Golden Visa for five years, you and your family
could be eligible to apply for Portuguese citizenship and gain one
of the world’s most powerful passports.
Why Portugal is attracting three times the investment in 2020
In the 2020 State Budget it was announced that there were to be
changes to the Golden Visa Programme that some felt would reduce
overall applications. Then the COVID-19 pandemic hit and the
government’s planned changes were halted indefinitely.
The Portuguese Association of Real Estate Promoters and Investors
(APPII) has also now presented the “Programme to Relaunch”, which
aims to attract foreign investment into the real estate sector and
encourage economic recovery.
South Africans exploring options in Portugal
South Africans are one of the top five nationalities applying for
and being approved for the Golden Visa. With a sensational
climate, affordable cost of living and healthcare as well as great
education facilities, it’s no wonder Portugal remains a top
residency-by-investment (RBI) option for many South Africans
looking for a “plan b”.
Portugal is a mere two hour flight from the UK, which has made it
an increasingly popular holiday destination among British
citizens. Portugal has also confirmed that British tourists will
not need a visa even in the event of a no-deal Brexit. Moving to
Portugal will remain an incredibly attractive proposition for
British citizens deal or no deal, which also means a bustling
tourism industry long into the future.
South Africans should consider making their investment into high
value houses in Portugal’s capital city, Lisbon. There is a large
abundance of tourists which means English is widely spoken, making
the city and all its culture easier to explore and, better yet,
enjoy. Alternatively, you can choose between the coastal city of
Porto with its picturesque Old Town on the Douro River or the hub
of the port wine industry, Vila Nova de Gaia. Portugal is made up
of historical cities, renowned cuisine and spectacular beaches, no
matter where you choose to reside.
Benefits of Portuguese citizenship
Many people from across the world look to Portugal as the ideal
destination for international migration as well as an excellent
place to settle for retirement. Sought-after lifestyle and
business locations include Cascais, Lisbon, Oporto, and Algarve.
A secure lifestyle
Portugal was recently ranked as the third safest country to live
in in the world according to the Global Peace Index. This will no
doubt speak to many South Africans concerned about the high level
of crime in their home country.
Dependants also benefit
Portugal’s policy on dependants included on the Golden Visa is
generous. It includes dependants over the age of 18 (who are
enrolled in full-time education) as well as parents over the age
of 66 if they are financially dependent on the primary applicant
of the visa. Your dependants will receive the same rights as the
primary visa holder and also may be eligible for both permanent
residence and citizenship after five years on the Golden Visa.
Visa-free travel
Travelling in and around Europe is easy when you have a Golden
Visa in hand. If you have ambitions of working within the EU, this
is especially beneficial. If you are a Portuguese citizen, you
also gain the right to live and work throughout the EU area.
Earn a passive income
Portugal being a popular holiday destination means demand for
short-term accommodation. This opens the door to potentially
earning a passive income from short-term leases during the holiday
season if you are a property owner.
Pensioners fiscal benefits
Portugal is a prime destination for foreign retirees and,
according to the Global retirement Index 2020, Portugal is on the
top 10 list of best countries to retire to. This is largely due to
the fiscal regime that’s integrated into the Non-Habitual
Residency (NHR) status with the level of taxation on pension
income remaining relatively low at 10%.
Tax benefits
Portugal has one of the most favourable tax regimes in the EU
whether you’re a resident or citizen. If you are not a tax
resident in Portugal (spend less than 183 days a year in the
country), you are exempt from close to all foreign-sourced income
tax. There’s also no tax on inheritance or gifts as well as no
wealth tax.
South Africa’s leading Golden Visa experts
We’re the leading provider for assisting South Africans and their
families in entering Portugal’s Golden Visa Programme. We’ve
developed relationships with key players in Portugal because we
know how important it is to have people on the ground who you can
trust. Our consultants will ensure you choose the best investment
solution for you.
We can assist with opening bank accounts, tax advice, fiscal
applications, property selection management and your applications
for Portuguese citizenship.
If you’d like to speak to a consultant about the Golden Visa
programme in more detail please contact us on