Regime Rate
50%
Under the MBE
Standard Top Rate
48%
without this regime
Duration
5 yrs
Maximum 5 years from application
Target Profile
Income Exemption
Portugal
Tax Savings Illustration
Example: €150,000 Annual Gross Income
Under MBE
€37 500
Standard Rate
€50 400
Annual Saving
+€12 900
Eligibility Requirements
Who qualifies?
- Qualified workers returning to Portugal after 3+ years abroad
How the Regime Works
Full details
50% exemption on employment income for Portuguese nationals returning. Separate from IFICI.
Regime vs Standard Rates in Portugal
| Tax Type | Standard Rate | Under This Regime | Saving |
|---|---|---|---|
| Income Tax (top rate) | 48% | ~24.0% effective | -24.0pp |
Frequently Asked Questions
What is the MBE in Portugal?
The Mais e Melhor Emprego — 50% IRS exemption is a special tax regime in Portugal that provides 50% flat rate to qualifying individuals or entities. 50% exemption on employment income for Portuguese nationals returning. Separate from IFICI. Legal basis: OE 2024.
Who is eligible for the MBE?
Eligibility for the MBE is limited to: Qualified workers returning to Portugal after 3+ years abroad. Applicants typically must not have been Portugal tax residents during a specified prior period. Always verify current conditions at the source: OE 2024.
How much tax do you pay under the MBE?
The MBE exempts a significant portion of your qualifying income from Portugal income tax. On a gross income of €150,000, this typically results in substantially lower tax compared to the standard 48% top rate.
How long does the MBE last?
The MBE lasts for 5 years from the year you first qualify. After this period, standard Portugal tax rates apply unless you qualify for another regime or change tax residency.
How do I apply for the MBE?
Application procedures for the MBE are set out in OE 2024. You typically need to file a formal application with Portugal's tax authority after establishing residency. Consult a local tax advisor for guidance.
Other Special Regimes to Compare
Disclaimer: This information is for general guidance only and does not constitute tax advice. Tax laws change frequently. Always consult a qualified tax professional before making residency or tax planning decisions.