89.2
When seeking professional services for legal, enterprise, education, or resettlement matters, it’s essential to grasp the distinctions between a law firm and a consulting firm.
Important Update
Portugal’s Residence Permit Application Process under the provision of Expression of Interest articles 88.2 and 89.2
As of June 3, 2024, the Portuguese government enacted Decree-Law No. 37-A/2024, which introduced significant changes to the residence permit application process for non-EU nationals. This decree effectively suspended the “Expression of Interest” mechanism, previously outlined in Articles 88.2 and 89.2 of Law No. 23/2007. Under the previous system, non-EU nationals could enter Portugal on a tourist visa and, upon securing employment, submit an “Expression of Interest” to regularise their stay. With the suspension of this mechanism, individuals are now required to obtain a valid employment contract or job offer before entering Portugal.
Temporary Residence Permit For Self-Employment (visa wavier) 89.2
The immigration law, as article 89 and paragraph 2 introduced on 4th July 2007 “and Amendment 2012 and 2017. Residence permits for self-employment shall only be granted to third-country nationals with a legal identity or freelancer professional employment relation in Portugal and are registered in the Social Security System in Portugal. There are a few steps to obtain temporary residence under the same law.
Step 1. Legal entry declares:
Foreign citizens entering the country from another Member State by way of a border not subject to control shall be required to report this fact to SEF (Portugal Immigration Department). The declaration of entry is mandatory for foreign citizens’ third-country nationals within three working days after admission in Portugal. According to articles 14 &16 of Act 23/2007 of 4th July and subsequent amendments. https://www.sef.pt/en/Documents/DeclarofEntry_EN.pdf (Government website).
No further declaration requirements: Foreign citizens’ third-country nationals who entered Portugal through a border Subject to control. Foreign citizens who are residents or visa holders are authorized to stay in the country for more than six months. Foreign citizens immediately after entering the country remain in hotels or in other kinds of accommodation units that submit accommodation forms to SEF; Foreign citizens who are covered by the EU legal framework or equivalent arrangements.
Step 2. NIF Number (tax Identity):
NIF number is a unique ID in Portugal issued by the Finance and Taxation department for correspondents not only taxpayers also those related to contracts, opening bank accounts, sale, and purchases, to obtain any registration & resident status, among others.
To receive an NIF number, you must be in the Finance department via physical or power of attorney representative with a valid ID document (Citizen’s Card or Passport), a declaration of the fiscal representative.
NIF is issued when you request it, through a standard report stating the period you receive your final taxpayer’s card.
Step 3. Accommodation confirmation letter:
The Junta de freguesia is the executive body of each municipality in Portugal that delivers Function for legislation of address confirmation after the requested valid local proof of accommodation or reference on behalf of two citizens.
The correspondent address is obligatory (documentary proof) to receive later form public and Private Institutions in Portugal.
Step 4. Registration of Company in Portugal or Register as Freelances :
To open/form a Company in Portugal, the applicant should be in Portugal or hire a legal representative with power of attorney.
Compliance of documents such as a Passport, preparing an article of association, legal office space for registration, or virtual office space.
To open a bank account and declare to tax and financial institute within 15 days after the company’s formation in Portugal.
The type of company depends on business and conmen companies’ nature in Portugal uni pal and LDA.
To the establishment with 1 euro or 5000 euro as paid off the capital of the identity. All the shareholders must contribute to the capital, and their liability is limited to that contribution.
The management is assured by a director appointed by the shareholders’ general meeting, the supreme authority in the Portuguese LDA.
Freelances and independent professionals must also declare the nature of work and yearly turnover to Portugal’s competent tax authorities.
Step 5. Social Security Number:
One of the mandatory steps to have a Social Security number for any expatriate/employee/who wants to work in Portugal. The social security number issued by Segurança Social Institute.
To apply for and obtain the Portuguese NISS social security number, you must present a copy of the employment contract certified by the hiring company. If the intention is ready to hire a foreign citizen, the contracting firm can issue a promise contract.
Freelancers and self-employers can request a social security number without job offers.
The competent authority issues number within 90 days after the required application for worker admission with Portugal’s social department.
Step 6. Employment contract and taxes:
The employment contract in Portugal is legislated under Portuguese labour law (articles 273– 275). The minimum working age is 16 to 18, and a person can obtain an employment contract without completing school.
There are several types of employment contracts. In 2018 the government increased the Portuguese monthly minimum wage from €557 to €580. By the end of the parliament in 2019, the government has pledged to raise Portugal’s minimum wage beyond €600 for the first time) * 635 Euro in 2020.
The tax obligation consists of the employer and 2employee, including income tax and social security deductions from the employer’s salary or paid over.
Employer (Company) pays 23.75%
Employee (worker) Pay 11.00%
Both calculated 34.75% in gross salary.
The standard VAT rate in Portugal is 23%. It’s obligatory on sales of goods or services—rules based on regulations drawn up by the European Union.
Step 7. SEF ENTRY (request for residency permit):
Application submitted through the electronic platform (SAPA Portal) and the application is submitted personally on a standard form signed by the applicant or his/her legal representative along with supporting documents as under Passport or any other valid travel document.
Evidence of regular entry in Portuguese territory as such legal entry.
Proof of sufficient means of subsistence (income or funds).
Extract from the criminal record from the country of origin. Extract from the illegal file from the state of residence for more than one year.
Evidence that the applicant has adequate accommodation. (Junta)
Confirmation of having registered with Social Security, except for a Portuguese company’s promised employment contractor registration certificate.
Proof of registration in the tax authority, tax, and salary confirmation. Contract of employment or document issued under article 89, paragraph 2, subparagraph a) of Lawn. º 23/2007 of 4th July; or promised work.
Step 7. Wait for an email from SEF:
Once you submit documents on the SAPA Portal for the manifesto interest, the MI number generated allows you to live and work in Portugal.
Step 8. Visiting SEF for fingerprints:
After applying, SEF’s assessment further allows the user to make an appointment for the SEF Bureau in the SAPA Portal. The user can select a place, date, and time of his/her convenience. SEF may call for an interview or ask for additional documents.
Step 9. Residence card will deliver:
Collection of printed temporary residence cards delivered to your address reflected on your JUNTA certificate, which is issued by Junta de freguesia.