Portugal’s Parliament has approved a amended version of the Foreigner’s Law, passed it with 160 votes in favor and 70 against (previous version was ruled unconstitutional by constitutional court). The President of the Republic has the powers to approve it, veto it, or once again request Constitutional Court review.
The Government also approved the draft State Budget for 2026, announced the Minister of the Presidency António Leitão Amaro at the Council of Ministers briefing in Lisbon. The proposal will be delivered in Parliament until Friday 10 October
According to AIMA data from 2024, there were over 1.5 million non-Portuguese residents of Portugal, making up around 15% of the country’s total population. Earlier António Leitão Amaro, Minister of the Presidency, recently announced the pending cases at AIMA will be resolved by the end of the year, which will allow for improved services in 2026.
Immigration Changes
Here is the brief overview of the amendments done to the immigration system, which has been approved:
- According to the draft of approved measures, family reunification for immigrants will now only be applicable after at least two years of lawful stay,
- Only highly skilled individuals will be eligible for work visas.
- Golden Visa holders are exempt from the waiting period for family reunification.
- Minor or incapacitated children, you can apply immediately.
- Couples, married or in a recognized partnership without children, must show 18 months of cohabitation abroad and at least 15 months of residence in Portugal. Other family members, the waiting time is generally one year.
- Family members prove that you still have sufficient means of subsistence and proper housing.
- Participation in integration programs, are now mandatory after the issuance of a residence permit and required for its renewal, knowledge of Portuguese language and constitutional values.
- The Migration and Asylum Integration Agency (AIMA) now has nine months to issue a decision on family reunification requests
- Forced marriages, marriages involving minors, or polygamous marriages will not be allowed.
- CPLP change: Citizens of Portuguese-speaking countries will no longer be allowed to enter Portugal as tourists and later apply for residence while already in the country. From now on, they must apply directly through Portuguese consulates before entering.
Housing Measures
The Government has approved several Housing measures to promote affordable housing in Portugal. Among the decisions are the following:
- VAT reduction to 6% for building homes for sale up to 648 thousand euros or, in the case of rentals, for rents up to 2,300 euros. This tax scheme is in force until 2029.
- A rise in the Municipal Tax on Property Sales (IMT) when purchased by citizens not residing in Portugal, excluding emigrants.
- The surcharge on Property Tax (AIMI) is waived for homes to be rented out up to 2,300 euros.
- A rise on income tax deductions for housing rents: 900 euros in 2026 and 1,000 euros in 2027.
- A reduction in income tax for landlords who have moderate rents: from 25% to 10%.
- Assistance with regard to temporary lodging for construction workers.
- Works underway with the banking sector to make it easier to access mortgages and financing for construction.
Portugal’s golden visa program has been a major contributor to direct revenue, jobs and taxes due to influx of money from investment bunds and donations through cultural sector.
Portugal Investment Funds
Portugal’s Golden Visa investment funds significantly contribute to the national economy. These regulated funds inject capital for Portuguese companies, driving growth, innovation, and job creation. By channeling international investment into local businesses, Golden Visa funds help strengthen the private sector and expand Portugal’s global competitiveness.
Portugal’s Cultural Sector
Portuguese Golden Visa Program supports the Portuguese Cultural Sector through a capital transfer for:
- Artistic production,
- Restoration or maintenance of national cultural heritage
Investors can qualify for a Golden Visa by making a minimum contribution of €250,000 (or €200,000 in low-density areas) to projects that support artistic production, or the restoration or maintenance of national heritage, or other cultural activities
Passport Stamps
Portugal will replace passport stamps with an electronic border control system by joining the European Union’s Entry/Exit System (EES) starting October 12.
