As I am sure many of you would agree, one of the most important questions nowadays is not how to make a profit, but how to retain it? Moreover, now more than ever, another crucial dilemma arises: how not to lose a large part of your profits for the taxes? Of course I am referring to the taxes on any gains that everyone is liable to pay. And let’s face it, no one enjoys paying huge amounts of their hard-earned money to the Revenue Services. Especially in our age of globalization, when we become less and less attached to being physically present to make money. Many people embrace the so-called “digital nomadic” lifestyle as one of the best recent inventions. And if a person earns his money online and travels the world, constantly searching for new places and emotions, is it fair that he will be obligated to pay taxes in their home country?
But what about cryptocurrencies? With cryptocurrencies, one becomes even more perplexed with being taxed. Not to worry though – we have an answer!
The Portuguese government was always extremely progressive and keeping track of the latest trends, hence why they came up with some amazing initiatives that crypto traders absolutely MUST learn about! The number one is the “Non Habitual tax Residency” programme or just NHR. Any EU citizen can easily register as NHR and take advantage of being 100% exempt from any profits related to cryptocurrency gains. Check out our special package for EU citizens.
Sounds too good to be true? It sure does! Moreover, in Portugal cryptocurrencies are considered equal to any other currencies, which means trading them does not fall under any of the following categories: capital gains, dividends or interest, self-employment activities. Consequently – you are not liable to pay taxes from gains incurred from crypto.