Officially, the regime is known as the Tax Incentive for Scientific Research and Innovation (IFICI) and it is designed to attract highly qualified talent into defined working roles in Portugal that support research, innovation, investment and export-led activity.

What NHR 2.0 is, in plain terms

For those who qualify, IFICI can apply a special 20% IRS rate to employment (Category A) and self-employment (Category B) income from qualifying activities, for 10 consecutive years, while also allowing for an almost full tax exemption on foreign sourced income, such as capital gains, dividends and interest, excluding only pensions and income sourced in tax havens. The regime is not a general tax break. It is targeted at people working in eligible activities such as higher education teaching and scientific research, and certain highly qualified roles within qualifying organisations and sectors, with the rules and application process set out in Portuguese legislation and guidance.

Who may qualify

As an overview, applicants must become tax resident in Portugal and must not have been tax resident in Portugal in any of the previous five years. The Portuguese Tax Authority’s guidance also sets out other constraints, including that individuals cannot be within the regime if they have benefited from the former NHR, and they must continue to be Portuguese tax resident during each year they want the incentive to apply. However, those thinking of relocating to and starting their own business in Portugal may also be eligible if both they and their business meet the necessary requirements.

Why this matters for Irish movers

Relocating is not only about Portuguese rules. Irish residents should also consider the Ireland–Portugal Double Taxation Convention, which helps determine taxing rights across income types and sets out how double taxation is relieved. As a result, any practical outcome will depend on your full profile, including residency timing, employment status, and how your income is structured. Notwithstanding that you may no longer be tax resident for Irish tax purposes, consideration should still be given to the implications of being ordinarily tax resident in Ireland. This could result in certain sources of income and gains being within the Irish tax charge, subject to the provisions contained in the double taxation agreement with Portugal.

Christina Hippisley, General Manager at the Portuguese Chamber of Commerce, said: “We are seeing sustained interest from Irish residents who want clear, factual guidance about a possible move. NHR 2.0 is more targeted than the previous regime, but for certain individuals it can still be a meaningful part of the decision. The key is planning early and getting proper advice before you act.”

Forvis Mazars Ireland, who will be presenting at the upcoming Dublin event, will talk about the practical tax considerations for Irish households and business owners thinking of moving to Portugal. Experts from Forvis Mazars Portugal will also talk in detail at the Show about the Portuguese tax regime.

Adrian Farragher, Senior Manager, Tax, Forvis Mazars, in Ireland, commented: “The new Non-Habitual Resident 2.0 scheme may be attractive to Irish individuals who are tax resident in Portugal. It is essential that individuals considering availing themselves of the NHR 2.0 regime take professional advice, not only to ensure that they qualify for the scheme, but also to organise their finances in such a way as to maximise the benefits available to them under the programme”.

Mário Patrício, Senior Manager, Tax, Forvis Mazars in Portugal commented: “For Irish entrepreneurs and business owners, NHR 2.0 can still be part of a smart relocation to Portugal, provided it’s approached with proper planning. The key is getting the timing and structure right — ideally before the packing starts and the deal is already done.”

Meet specialists, and hear real Irish case studies

These topics and more will be explored at the Moving to Portugal Show and Seminars (at the Herbert Park Hotel, Dublin 4 on 30 April 2026), including tax, legal, residency and property. The programme will also include real life Irish case studies, featuring people who have already made the move and who can share their first-hand experiences.

Attendance is free, with morning and afternoon sessions available.

Register at: https://MTP-Dublin-2026.eventbrite.co.uk