Richard M. Says:
If Portugal votes on July 20 to terminate the golden visa plan, when would that become effective?
IL Chief Global Diversification Expert Ted Baumann Says:
Hi Richard,
Before we address the question of timing, let’s be clear about what’s changing.
Most people think of Portugal’s golden visa program in terms of the residential investment option. That has allowed people to acquire long-term residency by buying a property, even if they don’t live in it themselves and rent it out. But there have always been other options.
The golden visa options that have been taken off the table include the following:
- Deposits of €1.5 million into a Portuguese bank.
- Purchase of immovable property with a value of €500,000 or more.
- A €350,000 purchase of real estate built at least 30 years ago or located in an urban rehabilitation area.
The remaining options include:
- An investment that creates at least 10 jobs.
- €500,000 donation to public or private scientific research institutions.
- €250,000 in investment or support for artistic production, recovery, or maintenance of national cultural heritage.
- €500,000 investment in venture capital funds
- Business investment of €500,000 that creates at least five permanent jobs over a three-year period.
The proposed changes also included a requirement to spend at least six months in the country every year. But that has been dropped.
The final vote on the proposed changes is scheduled for 19 July. The changes will come into effect as soon as the legislation has passed.
It’s important to note that under the proposals, existing golden visa applications will be grandfathered in, and will be considered in terms of the regulations that were in place at the time of the application. The changes will only apply to new applications made after the new law is approved.
To get the best idea of what this will mean for the future of Portugal’s golden visa—as well as similar visas throughout Europe—you should join me and IL’s other relevant experts for our online seminar on July 20.
Get the details of the event, and secure your spot, right here.
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