ARI - RESIDENCE AUTHORIZATION FOR INVESTMENT ACTIVITY
The Residence Permit for Investment Activity, in force since October 8, 2012, allows nationals from third country to obtain a temporary residence permit for investment activity with the exemption of residence visa to enter in national territory.
The Residence Permit for Investment Activity holder has the possibility to:
- To enter in Portugal with exemption of residence visa;
- To reside and work in Portugal, remaining in Portugal for, at least, a period of not less than 7 days in the first year and not less than 14 days in subsequent years;
- Circulate through the Schengen area, without visa requirements;
- Benefit from family reunification;
- Request the granting of Permanent Residence Authorization in the terms referred to above;
- Possibility of requesting the acquisition of Portuguese nationality, by naturalization.
All nationals of third countries who carry out an investment activity, either in person or through a company incorporated in Portugal or in another EU State and having a permanent establishment in Portugal, which meet one of the quantitative and temporal requirements in the applicable legislation, may apply for Residence Permit for Investment Activity by investing in one of the following possibilities:
- Transfer of capital amounting to € 1,000,000 or more;
- Creation of at least 10 jobs;
- Purchase of immovable property of € 500,000 or more;
- Purchase of immovable property, the construction of which has been completed for at least 30 years or located in an area of urban rehabilitation and rehabilitation of real estate acquired, totaling at least € 350,000;
- Transfer of capital in an amount equal to or greater than € 350,000, which is applied in research activities carried out by public or private scientific research institutions, integrated in the national scientific and technological system;
- Transfer of capital in the amount of € 250,000 or more, which is applied in investment or support for artistic production, recovery or maintenance of the national cultural heritage, through services of central and peripheral direct administration, public institutes, entities that integrate the public enterprise sector, public foundations, private foundations with public utility status, inter municipal entities, entities that are part of the local business sector, municipal associations and public cultural associations, that continue their attributions in the area of artistic production, recovery or maintenance of cultural heritage national;
- Transfer of capital in the amount of € 350,000 or more, for the acquisition of units of investment funds or venture capital funds for the capitalization of companies, which are set up under Portuguese law, whose maturity at the time of the investment, is at least five years and at least 60% of the value of the investments is made in commercial companies based in the national territory;
- Transfer of capital amounting to € 350,000 or more, for the establishment of a commercial company with its head office in Portugal, together with the creation of five permanent jobs, or to increase the share capital of a commercial company with established in the national territory, with the creation or maintenance of jobs, with a minimum of five permanent employees, and for a minimum period of three years.
The ARI scheme is not applicable to citizens who are Portuguese nationals and to nationals of the U.E. and the EEA.
SPECIFICATIONS FROM ARI SCHEME
Time of completion of the investment and its obligatory duration
The Investment Activity chosen by the applicant must be completed at the time the application for a residence permit is submitted. The investor undertakes to keep the Investment Activity for a minimum period of 5 years from the date of granting the Golden Visa, although he may change the type of investment in the renewal requests he makes over those 5 years.
Participation and Investment through Companies
The investment made through a commercial company must occur through a company held by a single person, with its head office in Portugal, or in another Member State of the European Union, with a permanent establishment in Portugal.
Validity Periods and Obligation to Stay in Portugal
The Golden Visa is a temporary residence permit valid for a period of one year, counted from the date of its issue, and may be renewed for successive periods of 2 years, provided that the necessary requirements for its grant are maintained. In order for the residence permit to be granted and renewed, applicants must regularize their stay in Portugal within 90 days of the first entry into national territory (obtaining, where necessary, a short-stay visa at the Portuguese consulate in the country) and proof of the minimum quantitative requirements for the chosen investment activity.
For renewal purposes, applicants must demonstrate that they have remained in the national territory for at least (i) 7 days, followed or interpolated in the first year and (ii) 14 days, followed or interpolated, in each of the subsequent periods of 2 years.
Investment Counterparts in "Less Population Density"
In order to encourage the decentralization of investment in large urban centers, the minimum amount or quantitative requirement required for most Investment Activities can be reduced by 20%, whenever such Activities are carried out in “Low Density Territories“.
Reduction of the tax burden on the taxation of Investments in Urban Rehabilitation
Applicants of Golden Visa who wish to acquire properties whose construction has been completed for at least 30 years or are located in an urban rehabilitation area and, in addition, carry out rehabilitation works, will be able to enjoy the tax benefits created by the Portuguese Government to the exercise of the urban rehabilitation activity, introducing fiscal efficiency in the investment opportunities.
Specifically, applicants may be exempted from (i) Municipal Tax on Ongoing Transmissions (“IMT”) in connection with the acquisition of said real estate, (ii) Municipal Property Tax (“IMI”), after their acquisition, for three years and (iii) to benefit from a reduced rate of Value Added Tax (“VAT”), in respect of contracts.
Like any other holder of a Residence Permit in Portugal, holders of Golden Visa may move freely through the Schengen Area.
Right to Family Reunion
In addition to the spouse, minor or ascendant children, the holders of Golden Visa can regroup the older children in charge of the couple or one of the spouses, who are studying in Portugal or abroad.