As a lawyer based in Portugal who specialises in helping British citizens relocate, I have guided many UK nationals through their move to Portugal. Since Brexit, the process has changed UK citizens moving from the UK to Portugal remains an extremely attractive and popular option.
Portugal has many great features for UK nationals, including multiple visa options, low cost of living and job opportunities. Portugal UK citizens relations remain strong despite Brexit changes.
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1. Pre-Move Considerations
Before you start, you need to know what’s changed since you left the UK. I’ll be honest with you, I have never had a British client move to Portugal for the weather (although it’s nice!). Most of my clients move here for the sunshine, lower cost of living and the Mediterranean lifestyle.
The Portuguese national health service is good and the tax benefits for new residents can be substantial. Plus the Portuguese are very welcoming to foreign residents making the transition much smoother than in many other countries. You should also understand local laws and regulations, especially those affecting financial services and daily life in Portugal.
Note that Portugal has many advantages over other European countries. From the mild climate to the rich national heritage, there are many reasons why UK nationals choose Portugal over other destinations. The Portuguese authorities have even set up the UK nationals support fund to help British citizens with their post-Brexit residency applications.
Property Acquisition Considerations
Buying Portuguese property property is a big step for many UK nationals looking to establish residency. Having a Portuguese bank account is essential for this process, as most property transactions require a local bank account for funds transfer and ongoing payments. For a full guide on buying property including legal requirements and pitfalls, see our article on buying property in Portugal.
2. Understanding the Visa Fundamentals
When dealing with Portuguese visas as non EU nationals, you need to understand two key concepts: the different types of residency visas available to UK citizens and UK nationals and the importance of applying for the correct residency visa to establish permanent residence in Portugal. There are various types of residency visas, including temporary and long-stay visas, each with specific requirements and processes.
- National Visas - These allow you to enter and stay in Portugal Schengen visa - allowing temporary travel within the Schengen Area
- Residence Permits - These give you longer term legal residency rights
For most visa categories, the process follows this pattern:
- Apply for a visa at the Portuguese Embassy/Consulate in the UK
- Enter Portugal with this visa
- Apply for a residence permit after arrival
3. National Visa Options Explained
Visa for Residence Permit (D-type)
This is the standard residence visa most British citizens need as their first step to secure their residency rights. Valid for up to four months and allowing two entries, this D-type visa is to give you time to enter Portugal and apply for your residence permit at the Immigration and Border Services (SEF).
Don’t confuse this with long term residency – think of it as your entry ticket to start the residency process once you’re in Portugal.
Temporary Entry Visa
This allows stays of under one year and multiple entries. It’s used for specific, time limited purposes rather than as a pathway to permanent residency.
4. Residency Pathways: Finding Your Perfect Fit
Now, let’s look at the specific visa options:
Passive Income Visa
The D7 Visa has become the go-to option for retirees, remote workers with stable income and those with regular investment returns. The D7 visa application requires proof of stable passive income, making it ideal for pensioners. Many British citizens choose the D7 visa because it recognizes stable passive income as qualification for residency. You’ll need to show sufficient passive income – approximately €8,460 per year for a single applicant.
Many of my retired clients find this to be the most straightforward option, using their UK pensions as proof of stable income.
Golden Visa
Portugal significantly revised its Portugal Golden Visa program in October 2023, eliminating real estate investment as a qualifying option. However, the Golden Visa remains one of the most popular pathways for obtaining residency, and continues to attract investors worldwide.
This change was made to address housing affordability issues and redirect foreign investments towards sectors that support long term economic and cultural development. The golden residence visa, distinct from the D7 visa which focuses on self-sufficiency without mandatory investment, requires specific financial commitments.
The minimum investment required for the Golden Visa can start as low as €280,000 for real estate or €350,000 for supporting existing businesses, making it accessible for potential applicants. This minimum investment threshold makes Portugal's program competitive compared to other countries. Selecting the right minimum investment option is crucial for a cost-effective success in the Golden Visa program.
Currently, UK citizens can obtain a Golden Visa in Portugal through these investment options available under the Portugal Golden Visa program. Several pathways for investment exist:
- Investment Funds: Invest a minimum of €500,000 in Portuguese investment or venture capital funds that support sectors such as technology, industry, or other areas of economic growth.
- Job Creation: Establish a business in Portugal that creates at least 10 full-time jobs, directly contributing to the local economy.
- Scientific or Technological Research: Transfer at least €500,000 into public or private research institutions, promoting scientific and technological advancement.
- Cultural Heritage Support: Contribute a minimum of €250,000 towards projects aimed at preserving Portugal's cultural heritage, such as maintaining or restoring national heritage sites.
What makes this visa particularly attractive for golden visa applicants is the minimal physical presence requirement – just 7 days in Portugal during the first year, followed by 14 days in each subsequent two year period. Golden visa holders enjoy this flexibility while still maintaining their residency status. Perfect for those who want to keep ties with the UK and get European residency!
After 5 years of living in Portugal while complying with all of the rules, citizenship through investment becomes an option. You can apply for permanent residency or Portuguese citizenship, provided you have a clean criminal record and sufficient Portuguese language knowledge.
Several of my British clients have gone for this option, especially through investment funds that are easier to manage than setting up and running a business in a foreign country.
Digital Nomad Visa
Portugal is becoming more popular among remote workers and this visa reflects that. To qualify you’ll need:
- For employees: A work contract or employer declaration confirming your employment
- For freelancers: Service contracts or proof of services provided to clients
- Proof of average monthly income for the last three months (minimum of four times the Portuguese minimum wage)
- Documentation of your tax residence
The digital nomad visa is popular among my younger British clients who can work remotely but want the Portuguese lifestyle.
Highly Qualified Activity Visa
If you have specialised professional skills, this visa might be your best option. You'll need:
- A valid work contract for at least six months
- A salary of at least 1.5 times the annual gross Portuguese salary
- For regulated professions: Proof that you're qualified to practice in Portugal
This is suitable for professionals in fields where Portugal has skill shortages.
Retirement Visa
This specialized option (a variation of the D7) is for retirees. You’ll need:
- Documentation proving your retirement status
- Proof of sufficient pension income to support yourself in Portugal
Many of my British clients prefer this, easiest of options, when their pension provides enough income.
VFS Global Partnership
Portugal has partnered with VFS Global to handle visa applications for UK citizens. This external service provider manages the administrative aspects of your application, including document collection, biometric data processing and appointment scheduling. Using VFS Global’s services can speed up your visa application process but you’ll need to pay additional service fees.
Their centres in London, Manchester and Edinburgh provide convenient locations for UK residents applying for Portuguese visas.
5. Property in Portugal
Buying property in Portugal can be exciting and challenging for UK buyers. I’ve guided many British clients through this process and noticed several common concerns, which I discuss below:
Market Insights
Property prices in Portugal vary greatly. Understanding the market and regional differences is key for UK nationals moving to Portugal. Lisbon and Porto are expensive, while rural areas in Central Portugal and parts of the Algarve offer great value. Some areas in the Algarve are at the top end of the market. Many of my British clients are surprised by how far their money goes in Portugal compared to the UK.
Essential Purchase Steps
The buying process in Portugal follows these stages:
- Obtaining your fiscal number (NIF)
- Signing the promissory contract (CPCV) with a 10% deposit typical
- Conducting thorough due diligence
- Completing the final deed (Escritura) at a notary
- Registering your ownership with the Conservatória do Registo Predial
Always budget for additional costs of 6-10% of the property value, including:
- IMT (property transfer tax): Up to 7.5%
- Stamp duty: 0.8%
- Notary and registration fees: Around 1%
- Legal fees: Typically 1-2%
Due Diligence
While a lawyer isn’t required, I strongly advise against proceeding without one. Foreign buyers unfamiliar with Portuguese property law face significant risks, from unclear property boundaries to undisclosed debts attached to the property.
Renovation Considerations
Many British buyers fall in love with traditional Portuguese properties that need renovation. Be aware that every municipality has specific building regulations, especially for properties in historic areas or rural zones. Getting proper building licenses is essential—I’ve seen too many cases where UK buyers purchased properties with illegal modifications, creating serious headaches.
6. Renting in Portugal
Many UK nationals wisely choose to rent before committing to a property purchase in Portugal. Living in Portugal temporarily while renting gives you valuable experience of day-to-day life in the country. Living in Portugal this way allows you to test neighborhoods and regions before making a permanent commitment. In summary, renting before buying allows you to:
- Explore different regions
- Understand local market prices
- Experience both summer and winter conditions
- Build local connections that might lead to off-market opportunities
The Rental Process
The Portuguese rental market operates differently from the UK in several ways:
- Contract Terms: Standard rental agreements typically run for 12 months, though shorter and longer terms are negotiable. Always ensure your contract is written, not verbal.
- Documentation: You'll need your passport, NIF (tax number), and proof of income. Some landlords may require a Portuguese guarantor for non-residents.
- Deposits: Typically one or two months' rent, refundable at the end of your tenancy if the property is left in good condition.
- Utility Connections: Unlike the UK, utility setup often remains the tenant's responsibility, including water, electricity, and internet.
For those renting in Portugal before committing to a property purchase, a temporary residence permit is required to ensure your personal belongings arrive within the first year of the permit’s validity.
Regional Variations
Rental prices vary greatly across Portugal:
- Urban Centers: Lisbon and Porto command high prices, with one-bedroom apartments ranging from €700-1,200 monthly in desirable areas.
- Coastal Regions: The Algarve shows significant seasonal price fluctuations, with winter rentals often half the summer price.
- Interior Portugal: Areas like Alentejo offer excellent value with three-bedroom homes available from €500-700 monthly.
Navigating Potential Challenges
When helping British clients find rentals, I always highlight these points:
- Seasonal Timing: Avoid searching during peak tourist season when availability is low and prices peak.
- Local Support: Consider using a local rental agent who can negotiate in Portuguese and understands local market norms.
- Property Condition: Always document the property condition thoroughly before moving in, as disputes over damage are common.
- Heating Considerations: Many Portuguese homes lack central heating. Factor this into your decision if renting during winter months.
Renting is the perfect transitional step while you navigate residency procedures and explore Portugal’s different regions, so your eventual property purchase aligns with your lifestyle needs.
Rural vs. Urban Considerations
If you’re drawn to rural Portugal, be aware of these specific considerations:
- Water and utility access
- Road access rights
- Agricultural land classifications
- Fire prevention requirements
Urban properties, while generally more straightforward, may have condominium fees and rules that differ from UK arrangements.
Remember, buying property is likely your biggest investment in Portugal, so take your time, do your research and seek professional guidance throughout the process.
7. Residency and Citizenship
How to Apply for a Residency Permit
Regardless of which visa you choose, you’ll need these basic documents:
- Valid passport (with at least three months validity beyond your planned stay)
- Completed national visa application form
- Recent passport photos
- Proof of financial means
- Criminal record certificate
- Travel insurance
- Proof of accommodation in Portugal
For specific visa types, including the various residency visas available to UK nationals post-Brexit, additional documentation will be required related to your income, investments or employment status. Make sure to apply for the correct residency visa to establish permanent residence in Portugal.
8. From Visa to Residence Permit
Once you arrive in Portugal with your visa, you need to schedule an appointment with AIMA to apply for your residence permit. This residence permit is your official documentation proving legal stay in Portugal. The residence permit process requires you to pay close attention to detail to ensure a successful application - this two-step process confuses many of my clients but it’s just how the Portuguese system works.
Your initial residence permit will be valid for 2 years, after which it can be renewed for 3-year periods. After 5 years of legal residency you can apply for a permanent residence permit or even Portuguese citizenship.
9. Family Reunification
If you’re moving to Portugal but leaving family behind temporarily, you’ll be glad to know that Portugal has a straightforward family reunification process. This allows your spouse, children and in some cases, dependent parents or adult children who are still studying, to join you later.
Family members will need to apply for their own visas but the process is simplified once you have legal residency.
Portugal Citizenship Prospects for UK Citizens
One of the best things about moving to Portugal is the path to citizenship. After five years as a legal resident, you can apply for Portuguese citizenship, which now gives you EU citizenship as well. As a Portuguese citizen, you'll enjoy all the benefits of EU membership, and becoming a Portuguese citizen opens doors throughout Europe.
The language requirement is minimal – you’ll need to pass an A2 level Portuguese test, which means basic conversational fluency
10. Healthcare and Insurance
Accessing the Portuguese National Health Service
Once you have your residence permit you can register at your local health centre to access health services in Portugal. It’s not perfect but it’s good quality care at very low cost compared to private healthcare in the UK.
It’s important for UK citizens moving to Portugal to get a healthcare user number to access the state-funded healthcare system (SNS).
UK citizens who receive a UK state pension may still be eligible for S1 coverage, meaning the UK will pay for your healthcare in Portugal. Also check if you’re eligible for a European Health Insurance Card (or its post-Brexit equivalent) for temporary stays in other EU countries while you’re based in Portugal.
Public Healthcare
When you register with your local health centre, you’ll be assigned a family doctor who will be your main point of contact for most health issues. The system works on referrals for specialist care, just like the NHS in the UK.
Private Health Insurance Options
Many British citizens combine public healthcare with private health insurance for quicker access to specialists and certain treatments. Policies start from about €40-100 monthly, depending on age and coverage level.
11. Banks, Finances and Taxes
Opening a Portuguese Bank Account
You'll need a Portuguese bank account for many aspects of daily life. Most banks require your tax identification number (NIF), passport, proof of address and sometimes proof of income. Online banks like Millennium, Novobanco and Activobank offer English-language services for foreign residents.
When choosing a Portuguese bank, several institutions stand out for their expat-friendly services:
- Millennium: offers comprehensive English-language online banking and has dedicated expat relationship managers.
- Novobanco provides specialized accounts for non-residents with favorable foreign currency exchange rates.
- Activobank has gained popularity among British expats for its no-fee digital accounts and English-speaking customer service.
Most UK nationals find having accounts in both countries useful during the transition period.
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Tax Planning Essentials for UK Expats
Understanding the tax implications of your move to Portugal should be a priority for UK nationals. The tax landscape in Portugal has changed significantly in recent years, affecting both new arrivals and existing expats.
The UK-Portugal Double Taxation Treaty
The 1968 UK-Portugal Double Taxation Convention (as modified by subsequent Protocols) is the basis for tax relations between the two countries. This agreement determines where you pay tax on different types of income. This double taxation agreement is crucial as it prevents individuals from being taxed on the same income in both countries. How it works varies by income type:
- Employment income: Typically taxed where you physically perform the work
- Pension income: Generally taxable only in your country of residence (though Government pensions are treated disitinctly)
- Rental income: Usually taxed in the country where the property is located
- Capital gains: Different rules apply depending on asset type (property vs. investments)
Knowing which country has primary taxing rights for each income stream is key to proper tax planning. I find many British clients are surprised by how the treaty allocates taxing rights especially for mixed income streams.
Recent Changes to the NHR Regime
The Non-Habitual Resident (NHR) regime, which offered significant tax benefits to qualifying foreign residents was discontinued from January 2024. However if you:
- Became Portuguese tax residents before December 31, 2023
- Obtained or applied for a visa or residence permit before December 31, 2023
- Registered for NHR status before April 1, 2024
- Had not been Portuguese tax residents in the previous five years
you can still benefit from the regime for the full 10 years. For my clients who qualified before the deadline this still offers great benefits on foreign-source income.
12. New Arrivals Tax Landscape
New arrivals to Portugal now face the standard Portuguese tax system with rates from 14.5% to 48% for most income types. However there are still some targeted incentives:
- 10% flat tax on foreign pension income for those who qualified for NHR status
- Remote workers with foreign employers may benefit from specific provisions
- Investment income can get favourable treatment under certain conditions
Practical Considerations
When advising UK clients on their move to Portugal, I recommend:
- Pre-departure tax planning: Review your assets and income sources before leaving the UK
- Timing your tax residency: Consider the 183-day rule carefully when planning your move
- State pension coordination: Notify UK authorities to ensure continuity of payments
- Tax filing obligations: Remember you'll need to file returns in both countries if you have income sources in both
If you are receiving UK benefits beyond your state pension check with UK authorities which ones you can continue to receive. While most state pension payments can be transferred to Portuguese accounts means-tested benefits cannot be claimed while living abroad.
Working with tax advisors in both countries before you move can prevent costly mistakes and help you navigate what is still a complex but manageable tax relationship between the UK and Portugal.
13. Employment and Education
Finding a Job in Portugal
The job market in Portugal can be tough for non-Portuguese speakers although there are opportunities in tourism, IT and international companies. Many of my UK clients continue to work remotely for UK employers or start businesses catering to expats and tourists.
Remote Work Revolution in Portugal
Portugal has become a remote work haven for UK citizens since the pandemic made working from anywhere normal. Many regions have dedicated co-working spaces and digital nomad communities, high-speed internet is available even in rural areas. The government has embraced this trend by introducing the Digital Nomad Visa in 2022 specifically for remote workers earning from abroad.
For professionals working with children or vulnerable populations a DBS Check (Disclosure and Barring Service) from the UK may still be required by employers even when working remotely from Portugal. It’s recommended to get an up-to-date DBS certificate before leaving the UK as getting one from abroad can be complicated.
If you plan to work ensure your qualifications are recognised in Portugal as some professions require local certification.
For those who want to maintain a connection with a UK employer while living in Portugal there are several options. You can work as a contractor, set up a Portuguese branch of the company or negotiate a remote working arrangement. Each setup has different tax implications so professional advice is essential to structure things properly.
Something to consider is that salaries in Portugal are generally lower than in the UK but so is the cost of living. Many British expats find that a lower salary still provides a higher quality of life when factored against living expenses and lifestyle benefits.
Education and International Schools
For families international schools provide education in English following British or International Baccalaureate curricula. These schools are concentrated in Lisbon, Porto and the Algarve with annual fees from €6,000 to €20,000.
Among the top options is the United Lisbon International School which follows the International Baccalaureate curriculum and has become very popular with UK expat families. The school’s modern campus, English language instruction and strong emphasis on technology education make it particularly appealing for families moving from the British education system.
Portuguese public schools are free including for foreign residents and offer an immersion experience for children to learn the language quickly.
14. Moving and Logistics
Moving Your Belongings
When moving personal belongings from the UK you’ll need a baggage certificate from Portuguese customs to bring items duty-free. Most of my clients use international moving companies familiar with post-Brexit documentation.
For vehicles import taxes can be high unless you’ve owned the car for at least six months before moving and plan to keep it for at least 12 months in Portugal.
Registering with Authorities
Within your first few months, you should:
- Register with the Portuguese consulate - this registration at the Portuguese consulate provides important protection and assistance for UK citizens living in Portugal
- Exchange your UK driving license for a Portuguese one
- Register with the tax authority
- Register with social security
I highly recommend registering with both the UK and Portuguese authorities. Many British citizens moving to Portugal keep their registration with the British Embassy or Consulate. This keeps you informed about changes that might affect UK nationals and provides assistance during emergencies.
The recognition and exchange of a UK licence are now governed by a new bilateral agreement between the UK and Portugal. British citizens living in Portugal need to exchange their UK driving licences for Portuguese ones or continue using them before the deadline of December 31, 2023, following specific requirements.
Exchanging your UK driving licence for a Portuguese one has become more complicated since Brexit but it’s necessary if you plan to stay long-term. Do this within your first six months of residency to avoid having to take a Portuguese driving test.
Driving in Portugal
Driving in Portugal can be a great way to get around, especially if you prefer to travel at your own pace. UK citizens can drive in Portugal with their UK driving licence for up to 185 days, after which they must exchange it for a Portuguese driving licence.
Make sure you familiarise yourself with local driving laws and regulations, such as the requirement to carry a reflective jacket and a spare tyre in your vehicle. UK citizens should also ensure they have adequate car insurance that covers them to drive in Portugal.
15. Adapting to Life in Portugal
Learning Portuguese really makes a big difference. While many Portuguese speak excellent English especially in tourist areas and larger cities making an effort with the local language opens doors to authentic experiences and genuine friendships. Understanding Portuguese is also key to integration into local Portuguese communities which helps expats navigate everyday life in Portugal.
The pace of life is generally slower than in the UK with more emphasis on family time, long lunches and outdoor living. Most British citizens adapt quickly to this lifestyle change and find it improves their quality of life greatly.
Portugal’s commitment to preserving its heritage while modernising creates a unique living environment. You’ll find centuries-old traditions alongside cutting-edge technology. This mix creates a society that values both innovation and roots.
Regional Spotlight: Alentejo
While the Algarve has long been a popular destination for British expats the Alentejo region is becoming an increasingly popular alternative. This vast agricultural heartland offers real Portuguese living with its white villages, rolling vineyards and lower property prices than coastal areas. Properties like Herdade No Tempo have become popular with UK buyers looking for larger properties with land often at a fraction of UK prices.
Similarly the Barrosinha area near Alcácer do Sal combines accessibility to Lisbon with rural tranquility making it perfect for remote workers who want space without isolation. Many British residents say the Alentejo’s slower pace and strong community feel makes for an easier cultural adjustment than busy tourist areas.
Many of my clients who move from the UK to Spain or other countries often compare their experiences with life in Portugal. The consensus is that Portugal is a gentler transition than many others. The widespread use of English, the welcoming attitude towards foreigners and the existing British expat communities all help to make the transition smoother for newcomers.
When comparing costs of living between Portugal and the UK and other European destinations Portugal comes out as the most affordable while maintaining a high quality of life. Housing, food and entertainment costs 30-50% less than the UK although imported goods can be more expensive.
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16. Your Next Steps
Moving countries is never easy but with proper planning it can be smooth. My British clients who prepare well usually settle in within their first year, building new social networks through expat groups, local activities and community involvement.
As a Portuguese immigration lawyer helping UK citizens relocate here I recommend you start preparing at least 6-12 months before your planned move date. This gives you plenty of time to research visa options, understand tax implications and gather necessary documentation – all key steps to your successful move to beautiful Portugal.
The Portuguese Immigration and Border Services (SEF) is being restructured and some of its functions are moving to other agencies. This transition may cause some administrative delays so building extra time into your planning is wise. Every day I work to help British citizens through these changing procedures so they have the right information despite the bureaucratic landscape.
Remember moving to Portugal requires patience with paperwork but the reward is joining a community where quality of life is prioritised. Whether you’re looking for a peaceful retirement, a vibrant career change or simply a fresh start Portugal is a welcoming home for UK citizens looking for new horizons.
17. Final Thoughts
: Moving to Portugal from the UK can be a great experience, with high quality of life, beautiful landscapes and a warm community. Moving to Portugal requires preparation but the rewards make it worthwhile. Planning and understanding of the visa, residency and tax requirements is key to a smooth transition.
By doing your research and preparing ahead of time UK citizens can enjoy all that Portugal has to offer, from the healthcare services to the cultural heritage. Whether you’re looking for a peaceful retirement, a career change or simply a fresh start Portugal is a great destination for UK nationals looking to start anew.
18. Frequently Asked Questions
Is it easy for Brits to move to Portugal?
Moving to Portugal from the UK is straightforward but requires planning due to Brexit changes. UK citizens no longer have automatic freedom of movement within the EU and must apply for a visa or residency permit if staying more than 90 days. Popular options are the D7 Visa (for retirees and remote workers) and the Golden Visa (for investors). Portugal has a high quality of life, affordable living and a large British expat community making the transition easier. While learning Portuguese is helpful many locals speak English especially in major cities and tourist areas.
Can you live in Portugal on $2000 a month?
Yes you can live in Portugal on $2,000 a month especially in the more affordable regions like Braga, Coimbra or the Algarve (outside tourist hotspots). In smaller cities rent for a one-bedroom apartment can range from $600-$900 and groceries, utilities and transportation another $600-$800. However in Lisbon or Cascais rents are higher and $2,000 may require budgeting. Portugal’s lower healthcare and dining costs make it attractive for expats and a modest lifestyle is very achievable on this budget.
Is it cheaper to live in Portugal or UK?
Yes Portugal is generally cheaper than the UK with overall living costs 30% lower. Rent is much more affordable especially outside Lisbon with prices 20-40% lower than major UK cities. Utilities, groceries, dining and healthcare are also cheaper. However salaries in Portugal are lower and imported goods or certain services may be more expensive. While daily expenses are more affordable those moving from the UK should consider their income source to maintain a comfortable lifestyle.
Do I have to pay tax if I move to Portugal?
Yes if you become a tax resident in Portugal (spending more than 183 days per year in the country) you must pay tax on your worldwide income at progressive rates. However Portugal has the Non-Habitual Resident (NHR) scheme which provides tax benefits for the first 10 years including reduced tax rates on foreign income. If you’re not a resident you’ll only be taxed on Portuguese-sourced income. It’s advisable to consult a tax professional to optimise your tax situation when moving.
