Parliament and the Government have approved new exceptional and temporary response measures due to the impact of COVID-19 in Portugal, amongst which is the stay/suspension of procedural deadlines and the postponement of court hearings and acts.

All deadlines for the practice of procedural acts in proceedings before the courts are currently suspended, with some exceptions, as mentioned below.

For example, the law states that urgent proceedings (as defined in the law or by a judicial decision) will continue to run their course without any suspension, as long as all acts and/or hearings can take place through remote communication channels or, when it is necessary for these to be held in person, that the same comply with the recommendations of the health authorities.

As for acts and hearings pertaining to non-urgent proceedings, these may continue to take place, as long as all parties accept it and expressly declare that it is possible to carry out the act/hearing through remote communication channels. However, should the hearing entail taking evidence from witnesses or parties and, in criminal proceedings, hearing the defendant or the assistant to the Prosecution, these must take place in a court or another public building, as long as the site complies with the recommendations of the health
authorities.

The parties, their representatives or other intervening parties who are over 70 years old, immuno-compromised or suffering from a chronic illness, thus considered to be at risk, do not have to be present at the court, and may instead be heard through remote communication channels from their legal or professional address.

In all proceedings, the court clerks should continue to carry out the usual acts that do not involve the participation of the other parties. Likewise, judges should continue to issue judgements in all proceedings where it is not necessary to carry out any more acts and/or hearings.

February 2021
Litigation Department

The Portuguese authorities have finally released the details on the upcoming changes to the Golden Visa regulations (Decree Law 14/2021, of 12^th February).

Initially, it should be highlighted that such amendments will become effective on 1st January 2022. Until then, the existing rules and requirements remain the same. It should also be noted that the rules are clear to establish that whoever submits their applications until 31st December 2021 will have the same grandfathered under the current regulations and requirements in force.

In accordance with the details now released, the main changes will be as follows:
Property Investments: Minimum amount required remains the same - €500,000 and €350,000 (for urban renovation) but only in certain qualifying areas (interior areas)

Capital Investment: Minimum amount required of €1.5 M (previously €1M)

Investment Funds: Minimum amount required of €500,000 (previously €350,000)

Job creation: Minimum amount required of €500,000 + 5 new jobs (previously €350,000)

Science and Research Activities: Minimum amount required of €500,000 (previously €350,000)

Other categories: No changes

It should be noted that the changes to in the property category will only apply to residential properties.

As such, it will remain possible to invest in Lisbon, Porto and in all other areas in non-residential properties, such as commercial, offices, serviced apartments and others.

Please contact us for any additional information that may be required.

February 2021
Edge International Lawyers

With a view to maintaining jobs, the extension of aid measures to companies has now been approved covering both the progressive economic recovery measure and the simplified lay off regime for 2021.

Thus, in situations where companies and establishments are subject to the duty to closure or suspension of activity, due to the pandemic, irrespective to the contribution payment by the employer to the remuneration compensation, the State will ensure that the employees covered by the extraordinary support for the maintenance of employment contracts, already provided for in Decree-Law No. 10-G/2020 of 26 March, often designated as lay off simplified regime, will receive 100% of the salary up to three times the minimum monthly guaranteed salary (MMRG).

In addition, support for the progressive economic recovery will be extended until the first half of 2021 and now for the first time, to Directors and Administrators of Companies who perform management roles in companies, who pay social security contributions and have employees under their responsibility.

Praça Duque de Saldanha,1 t (+351) 213191290
Edif. Atrium Saldanha, Piso 7 f (+351) 213527619
1050-094 Lisbon | Portugal info@edge-il.com
Lisbon | Porto | Algarve | London | Cape Verde

In this case, the payment of 100% of the remuneration up to three times the MMRG will also be ensured to employees covered, together with partial exemption of social security contributions of the employer.

Finally it’s now established that employers can apply to simplified lay off regime, migrating directly from the progressive economic recovery measure, in case they are in situation of forced lockdown or suspension of activity.

February 2021
Edge International Lawyers

The SEF Portal for the online registration of British citizens who have established residency rights in Portugal went live a short time ago. Registering on the portal will allow eligible British citizens to continue to reside in Portugal through the application for a 5 year resident’s card in 2021. Registration will also facilitate travel between the UK and Portugal from 1 st January 2021 up to the receipt of the resident’s card. This resident’s card will allow British citizens to travel freely in the Schengen area and, after five years of residency, will allow British citizens to apply for permanent residency or nationality.

In order to be eligible, British citizens should hold an EU Residency Certificate. Registration is fairly straightforward but we do advise that you take advice before registering due to the fact that the registration is a fundamental part of the process of obtaining the resident’s card. The detail of the registration process is crucial and should it be submitted incorrectly, this could lead to delays or, for example, dependents not receiving the resident’s card.

We recommend that registration is effected as soon as possible and we have therefore tailored a service which will include: the registration itself; the management of the appointment to obtain the biometric data at the respective Town Hall; preparation of the documents for and assistance at this appointment; legal support up to the receipt of the resident’s card.

We are the only law firm in Portugal with over 30 years of experience in assisting British citizens with their legal matters in Portugal. We are also the leading law firm in immigration matters and are therefore uniquely placed to assist with this process.

Edge International Lawyers
December 2020

The amendments to the Law of Nationality have now been formally approved by Parliament and ratified by the President and are effective since 11 th November 2020.

One of the main changes is related to nationality for children born in Portugal. In accordance with the new terms of the law, Portuguese nationality by origin is obtained by children born in Portugal provided that at least one of the parents is a legal resident of Portugal for at least one year. This change is a reduction of the minimum residency of parents from two years to just one year.

In addition, the amendments also establish the possibility of obtaining Portuguese citizenship to any foreign citizens who have a Portuguese second degree ancestor (i.e. grandparent) via declaration attesting such intention and proving the effective connection to the Portuguese community. This connection is confirmed simply by showing sufficient knowledge of the Portuguese language and absence of criminal activities or conviction.

It should also be noted that the Public Authorities are no longer able to oppose to the application for nationality on the grounds of absence of the effective connection to Portugal for cases of marriage or common law partnership that has lasted for more than 6 years or if the couple has common children of Portuguese nationality.

Edge International Lawyers
December 2020

In an attempt to better lay in writing what was already the practice of some Family Courts in Portugal, the law has been expressly changed to foresee the cases where judges can now decree the alternate residency of the child with both parents.

Up until now, when decreeing the child’s residency and visitation rights, the court should decide in accordance with the former’s superior interest, but also take into account all relevant circumstances of the case, such as the possible existence of an agreement between the parents and the availability showed by them to promote frequent relations of the child with the other parent.

Now, the court can determine the alternate residency of the child with both parents, even if the same do not agree to this, should the court decide that it is in the child’s superior interest. It is also clarified that the alternate residency of the child with both parents does not prevent the possibility of one of the parents having to pay maintenance to the other. This will be more evident when there is a substantial difference between the income of each parent, with payment of maintenance being a way to ensure that the child maintains his/her standard of living up until now. It is also expressly mentioned that the court must hear the child before making a decision on any matters regarding parental responsibilities,
something which was not a mandatory requirement up until now.

Edge International Lawyers
December 2020

For many years now that Portugal has implemented friendly immigration policies, granting residency rights to Non-Eu/ EEA/Swiss citizens who wish to study, work, trade, invest or enjoy retirement in Portugal.

On this topic, one option for Non-Eu/ EEA/Swiss citizens who wish to relocate into Portugal is to show sufficient and regular net passive income (pension, rental, interest, dividend or intellectual property income). This way of residency is commonly referred to as “D7 Visa” or “Passive Income Visa”.

Unlike the other ways of residency referred above, this is the only option in which the Applicant does not have to create, beforehand and within Portugal, the necessary conditions for the residency permit to be granted – it does not require a prior enrolment, employment, company incorporation or capital/property investment. The fact that the
Applicant holds in his country regular passive income of a certain amount is sufficient
to entitle him/her to residency in Portugal.

The application for this way of residency starts with an application at the Embassy/Consulate where the Applicant has residency, which will result in a residency
visa. Under this visa, the Applicant will then have to come to Portugal to switch his/her
visa for a Residency Permit, which will initially be granted for 2 years, with the
possibility of renewal within the same passive income requirements.

The “Passive Income Visa” offers the same social and professional benefits to its
holders as the Portuguese citizens enjoy, such as family reunion, visa-free entry and
circulation within the Schengen Area, free healthcare and education, the freedom to
study and work in Portugal, protection in unemployment and applying for the Non-
Habitual Resident tax benefits regime.

EDGE – SOCIEDADE DE ADVOGADOS, SP, RL
October 2020

After several months of pandemic and with the return of part of the population to presencial work, it seemed inevitable the adoption of measures to prevent, contain and mitigate the transmission of the virus at work.

As a result, DL no. 79-A/2020 of 1st October came into force on the 6th October 2020 and applies to companies in which workplaces 50 or more employees work.
The logic is that in the private sector, as is already the case in the Public Administration, the employer organizes working time at off-peak times for employees at the workplace, in order to avoid the concentration of people, not only at peak hours, but throughout
presencial work.

Thus, it has been established that the time-lag intervals should be set at a minimum of 30 minutes and maximum of one hour. In order to implement the time-lag organization, the employer can now unilaterally change working hours up to a maximum of one hour, unless the employee can claim serious damage.

However, the emphasis is on stable working hours, the employer being limited to one possible change per week, not exceeding the maximum number of working hours or changing the working type.

Certain categories of employees, due to their greater vulnerability, are exempted from this regime and do not have to invoke serious damage. This group of employees includes pregnant women, women who have recently given birth or are breastfeeding, minors, employees with reduced working capacity, handicap/chronic illness and employees who are in charge of children under 12 years of age or with handicap/chronic illness.
It is also envisaged that the employer should set up stable teams so that the same employees have contact with each other in kind of "bubbles" and establishing breaks for rest and alternate meals in the workplace.
In any case and regardless of the schemes described, preference should be given to teleworking whenever the nature of the activity allows for it (as so far).

To the extent that physical distance is impossible, the employer should promote the use of appropriate health and safety equipment.
With regard to temporary work and the provision of services, it is also the responsibility of the user enterprise or the enterprise receiving the services provided to adopt the measures of time-lags and changes in schedules.
These measures shall remain in force at least until 31 March 2021, depending on the evolution of the pandemic.

Employment Department
2nd October 2020

In the context of the global pandemic, lifestyle has increasingly come into the focus. For many, Portugal has a triple A+ lifestyle rating, as well as being the 7th most democratic country in the world for 2020 (in 200 countries) and 3 rd most secure country according to the Global Peace Index. As a result, people from all around the world feel safe to move to
Portugal, in pursuit of a higher quality of life, with an added benefit of securing tax efficiency through the Non Habitual Residency Programme (NHR).

Qualifying as a NHR and maintaining this status for 10 years is relatively straight forward by way of registration as a Portuguese tax resident, not having been a tax resident in the previous 5 years. However, becoming a Portuguese NHR does not necessarily grant a complete tax exemption and therefore specific tax advice should be sought before applying.

The NHR programme is not country-specific, in the sense that it relies on the extensive
network of Double Taxation Agreements which Portugal has signed with the UK and other countries. As a result, British Citizens will continue to benefit from the programme after the end of the transition period in the same way that other third country nationals currently benefit.

However, as negotiations evolve, the possibility of a no deal Brexit comes sharper into
focus, and certain practical issues, such as the provision of banking services by UK
licensed banks start to become a reality. According to The Sunday Times, Lloyds, Barclays
and Coutts have already informed their clients of the situation, saying their accounts will be
closed at 11pm on December 31 st . Lloyds bank was the first to confirm that they will be
withdrawing their service from Holland, Slovakia, Germany, Ireland, Italy and Portugal,
affecting more than 13,000 British Citizens living in these countries. For the time being, two
other major UK banks, NatWest and Santander, have not yet decided to close customers’
accounts, but are however considering their options.

Nonetheless and facing Brexit, a growing number of British Nationals are choosing to
become NHR as Portugal becomes more than ever a country with growing opportunities for
successful investments. Existing NHRs are securing new banking solutions.

For instance, two Portuguese cities are ranked by Forbes Magazine, for the second consecutive year, Best European cities to invest in for 2019 and 2020, with areas of growth potential and gains, especially in the Real Estate sector. Last year’s list had Lisbon as a
great city to invest in a second home, however this year’s best city is Porto, where prices are 30% lower than Lisbon, with an average sales price in August 2020 of €306,060.

EDGE continues to provide substantially more legal assistance than simply making the
NHR application on the client’s behalf. Our experienced team assists the client each step of
the way, also providing Brexit solutions, including the establishment of residency rights prior to the end of the transition period. EDGE can provide full assistance to British nationals
concerned about Brexit, whether in relation to British nationals living in Portugal, British
nationals considering moving to Portugal pre-Brexit and British nationals moving after
Brexit.

Edge International Lawyers
October 2020

Tuesday 4 th August 2020, 11am

After a series of successful Webinars, we are very pleased to announce the next in our Webinar series: “Applying for the Non-Habitual Residency programme in Portugal’s Clean&Safe environment”, in partnership with the Portuguese Chamber of Commerce in UK, which will take place on Tuesday 4th August 2020, at 11am (UK Time), via Zoom.

Are you wondering how to plan your move to Portugal and what you need to plan for? This webinar will contain all the answers you need on the Non-Habitual Residency Programme (NHR), one of the most efficient tax programmes available, and how Portugal’s lifestyle has attracted a diversity of individuals to Portugal. Forbes puts Portugal at the top of the list of countries to live and retire overseas post COVID-19, especially due to important factors like the country’s healthcare system, healthy living, language, long-lasting sunshine and safety, being ranked by Global Peace Index as one of the top 3 safest countries in the world for 2020.

If you wish to find out more about why Portugal continues trending as a Clean&Safe country to live and invest, especially through NHR and Golden Visa Programmes, and what might or might not change after Brexit, don’t miss this opportunity. Join us and hear all about real-life experiences regarding NHR Programmes and application process, and how Portugal continues to be a highly attractive country with government services that adapt as quickly and innovatively as possible to this #PostCovidWorld, with measures like the Clean&Safe campaign, and the Portuguese Health Passport.

Register here, and take the chance to hear from one of our Senior Partners, Geoffrey Graham, introduced by Christina Hippisley, General Manager at the Portuguese Chamber of Commerce in the UK.

We also encourage participants to send their questions prior to the webinar to events@edge-il.com.

Further information will be available on www.nonhabitualresidents.com and https://movingtoportugal.org.uk/

SAVE THE DATE: Tuesday, 4th August 2020, 11am (UK Time)