December 2022 – NCA Lawyers

12 December 20228 May 2025

Understanding the Portuguese NIF Number: What It Is and Why You Need One

If you’re planning to live, invest, or do business in Portugal, you’ll need a NIF number—short for Número de Identificação Fiscal (Tax Identification Number). This 9-digit number is a unique personal identifier used in almost all legal and financial transactions.

Whether you’re buying property, signing a lease, or opening a bank account, having a NIF is essential.

How to Get a NIF Number

You can obtain a NIF at any Portuguese tax office (Serviço de Finanças) or designated service location. The number is issued on the spot and free of charge.

Additional fees may apply if you request an official card or need a fiscal representative.

Do You Need a Fiscal Representative?

If you are not a resident of Portugal or another EU country, you will need a tax representative.

This individual or entity will handle tax-related communication and ensure compliance with Portuguese tax law. Eligible representatives include:

A friend or acquaintance residing in Portugal
A professional service or company

Nationality does not matter—the person must simply reside in Portugal and accept the responsibility.

Can You Get a NIF Without Being in Portugal?

Yes. You can apply remotely by providing the following documents:

A copy of your passport
Proof of address (e.g., utility bill, bank statement)
A power of attorney authorizing someone to apply on your behalf

Need help? Contact our team and we’ll guide you through the process.

5 December 20228 May 2025

Registering as an EU Citizen in Portugal: What You Need to Know

If you’re a citizen of the European Union planning to stay in Portugal for more than 90 days, local law requires you to obtain a Certificate of Registration. This obligation also applies to citizens of Iceland, Liechtenstein, Norway, Andorra, and Switzerland.

Who Needs to Register?

All EU and associated-country citizens who remain in Portugal longer than three months must register within 30 days after that period.

How to Apply

The application must be made in person at the City Council (Câmara Municipal) of your residence. Required documents include:

A valid passport or national ID
A signed declaration of compliance confirming your legal residence

Certificates are issued for up to five years. Applications may also be submitted by an authorized legal representative.

Need help? Contact us at info@ncadvogados.pt.

Renewal of Registration

You may apply for renewal only once the certificate expires or if it was issued with a shorter validity. Renewals remain limited to five years.

Beyond this period, a residence permit must be requested from the Immigration and Borders Service (SEF/AIMA). Updates to personal data—like name or address—must also be reported, and the previous certificate returned.

Replacement of a Lost or Damaged Certificate

If the certificate is lost or stolen, file a report with the Public Security Police (PSP) and obtain a statement before reapplying.

If the document is damaged and the number is no longer legible, a police statement is also required. Otherwise, return the original to the City Council when requesting a replacement.

Cancellation

If you are permanently leaving Portugal, the certificate must be cancelled and returned to the City Council before it expires. Failure to comply may affect your ability to obtain a new certificate in the future.

4 December 20228 May 2025

Residential Property in Portugal

The European Systemic Risk Board (ESRB) has released its latest review of Portugal’s residential real estate sector, highlighting several emerging vulnerabilities that warrant close attention from financial institutions, investors, and policy stakeholders.

Key Risks Identified

Persistently overvalued property prices, rising since 2016
High household debt levels, albeit declining
Weak demand for new home loans with narrow interest rate spreads

Despite these vulnerabilities, the ESRB considers the measures implemented by the Bank of Portugal to be appropriate and proportionate, classifying the overall risk to the financial system as moderate.

Impact of Regulatory Measures

The ESRB acknowledges that the 2018 macroprudential rules have improved market stability. These include tighter controls on loan-to-value ratios and borrower debt-service capacities. By the end of 2022, however, average mortgage maturities must be reduced to 30 years. New regulations take effect as of April 1.

Post-Pandemic Credit Concerns

During the pandemic, a significant number of mortgages were under moratorium. As support phases out, there’s concern about potential deterioration in loan quality. With many property deals conducted without domestic financing, Portugal may need to recalibrate macroprudential tools in a downturn.

Balancing Policy with Market Pressures

There is no intention to impose further financial burdens on borrowers, particularly in a market distorted by foreign demand and rising property prices.

Market Resilience and Signs of Recovery

Despite the pandemic, the market remained resilient. Property prices rose by 8.6% in 2020, following 9.3% in 2019. While transactions fell by 22% in Q2 2020, they rebounded to 2019 levels by year-end. An increase in building permits since late 2020 suggests that housing supply may rise.

Mortgage Lending Trends

Mortgage growth was 2.4% in August 2021. Domestic credit finances only about 40% of transactions, a figure largely unchanged since 2017, though signs point to a possible recovery in domestic lending activity.

Borrowing Costs Remain High

Although interest rate spreads are narrow (0.8% in August 2021), borrowers in Portugal face some of the highest APRs in the EU. These include not just interest, but account and insurance costs. Household debt rose to 93.6% of disposable income in Q1 2021, up from 69% of GDP in 2020.