Countdown to Portugal's General Elections: Tax Implications and Changes
On Sunday, March 10, 2024, Portugal will hold early general elections following the resignation of Prime Minister António Costa on 7th November 2023. The decision stemmed from an unexpected independent investigation initiated by the Public Prosecutor's Office within the Supreme Court of Justice, focusing on the lithium and green hydrogen sectors.
The former ruling party, Partido Socialista, ended the Non-Habitual Resident (NHR) Tax Regime. As the election nears, polls are unable to predict the winner, with two frontrunners: the Socialist Party (Partido Socialista) and the right-wing coalition Democratic Alliance (Aliança democrática), which recently won in the Azores region.
If the election outcome mirrors that of the Azores, where the Democratic Alliance coalition emerged victorious, some measures outlined in the 2024 state budget may be reconsidered, including the discontinuation of the Non-Habitual Resident (NHR) Tax Regime. This is a possibility since historically, the right-wing has demonstrated a stronger propensity towards attracting foreign investment.
How to exercise your right to vote?
To exercise the right to vote, and be an active part of this democratic process, Portuguese citizens need to possess specific documentation. The primary document necessary is the ID card. When heading to the polling station to vote, the ID card must be presented. It's crucial to note that the ID card must be valid to be considered. Alternatively, other forms of identification accepted include:
- Driving Licence;
- Passport;
- Attestation of identity by two electors;
- Recognition of the voter by all members of the polling station.
The location where you cast your vote is determined by your registration. For instance, if you change your residency without updating your ID card residency, you remain registered in your previous area of residency. Updating your residency is mandatory and will automatically update your ID card.
Portuguese citizens residing abroad can cast their votes at the Portuguese consulate corresponding to their area of residence and exercise their voting rights on the 10th of March 2024.
