Taxes and Social Security
IRS is levied on income obtained by individuals, taxation being dependent on their tax status and income being divided into 6 different categories.
Workers also pay for Social Security
Residents: Are taxed for all income obtained (in Portugal and abroad)
Former residents: Exclusion from taxation of 50% of income from employment and business and professional income
Non-habitual residents: Are taxed on net income from employment and independent work at a flat rate of 20% on income from "high added value" activities. Foreign source income may be exempt from taxation under certain circumstances
Non-residents: Are taxed on income obtained in Portugal