# French expat tax in Portugal [Moving to Portugal](/moving-to-portugal/) Guide Updated 8 October 2026 Law as at 19 October 2026 5 min read Signed by our advisers · 4.7 on Google, 43 reviews A French pension for past private-sector employment is taxable only in Portugal when paid to a Portuguese resident (under the France-Portugal convention). That includes the CNAV basic pension, while a French government-service pension stays taxable only in France unless the recipient is resident in, and a national of, Portugal, in which case only Portugal may tax it. IFICI does not exempt pensions, which fall outside categories A, B, E, F and G covered by the IFICI foreign-income exemption. Most French cases turn on three things: whether the French [exit tax](/guides/capital-gains-tax-portugal/) applies on the way out, how the treaty splits pensions and French-source income, and the fact that the old NHR regime is gone. Next step **Moving to Portugal, or already here with income from abroad?** Before the move, we assess your Portuguese tax position and work with your adviser abroad; once you live here, we prepare and file your Portuguese return. [Your annual return](/services/annual-portugal-tax-return-expats/) ## What changes when you move from France to Portugal If you hold significant company shares or a securities portfolio, the exit tax can crystallise on the day you move. Once you are resident in Portugal, the France-Portugal treaty decides which country taxes each income stream, and the answer is different for a public-sector pension than for a private one. On the Portuguese side, the regime that retirees used to rely on (NHR, with its reduced pension rate) is closed to new arrivals and its replacement, IFICI, does not cover pensions at all. ## How the France-Portugal treaty allocates your income France and Portugal tax under a double tax convention (the 1971 convention as later amended), so each income type is allocated to one country, with the other giving relief. As a broad map: | Income type | Where it is taxed | | --- | --- | | French public-service pension | Generally France, subject to the treaty exception where the recipient meets the residence and nationality conditions. | | French private or occupational pension | Portugal (residence). Taxed at normal Portuguese rates once you are resident; IFICI does not exempt pensions. | | Employment | Where the work is performed. Residence (Portugal) unless the work is physically done in France. | | Dividends and interest | France may withhold; ordinary Portuguese rules tax the income with a limited credit. Reclaim any over-withholding with the French residence forms. | | Capital gains on ordinary securities | Generally Portugal as the residence state, subject to treaty exceptions for real-property-rich interests, permanent-establishment assets, and other specified cases. | | French real estate (rent and gains) | France (where the property is). Ordinary Portuguese rules also tax the income, with a limited credit for eligible French tax; special regimes can differ. | Under the ordinary Portuguese rules, income taxable in both countries can receive a credit for eligible French tax within Portuguese and treaty limits. Qualifying foreign income can be exempt under IFICI, subject to its category, source and jurisdiction conditions; existing NHR rights follow their own rules. ## The French exit tax when you leave for Portugal France's exit tax can apply when you move your tax home abroad if you were French tax resident for at least six of the previous ten years and your securities and company rights are worth more than EUR 800,000 in total, or represent at least half of a company's profits. It treats your unrealised gains as if you had sold on the day before departure. For a move to Portugal, payment can be automatically deferred without a guarantee. So for most people the exit tax is a filing and monitoring obligation, not an immediate payment. The risks are failing to file the departure-year and annual follow-up forms, or selling during the deferral window, which crystallises the tax. If you sell during the deferral, the Portuguese tax on the sale can be credited against the French exit tax. ## Public and private pensions: why IFICI does not help retirees A French government-service pension is generally taxable only in France under the government-service pension rule, but only in Portugal if the recipient is both Portuguese treaty resident and Portuguese national. Pensions connected with a government business follow the separate government-business rule. The ordinary French state old-age pension (the régime général / CNAV retraite de base) is not a civil-service pension for treaty purposes and is taxed in Portugal, like a private pension. A French private-sector or occupational pension is taxable in Portugal as your country of residence, and the position has changed: under IFICI (the regime that replaced NHR for new arrivals from 2024), [foreign pensions](/guides/portugal-pension-tax-guide/) are not exempt. They are taxed at Portugal's normal progressive rates. So the old expectation, a low flat rate on a French pension under NHR, no longer holds for new movers. Most retirees do not qualify for IFICI in any case. ## French social charges and the EU exemption Beyond income tax, France charges non-residents social levies on French property income and on gains from French property. If you live in Portugal, are affiliated to the compulsory Portuguese social-security system and your healthcare is not borne by a compulsory French scheme, you are exempt from CSG and CRDS on that income; only the 7.5% solidarity levy (prélèvement de solidarité) remains. A retiree whose only pension is French generally remains covered at the French scheme's expense, usually through an S1 form issued by France, and does not qualify. The exemption is not automatic: it is claimed on the French return or, later, by a claim, with evidence of the affiliation. ## Coordinating DGFiP and Finanças Keeping a French rental property or French investments usually means you continue to file in France as a non-resident at the same time as filing in Portugal, with the treaty deciding who taxes what and Portugal applying the appropriate credit or exemption. The work is making the French and Portuguese filings use the same facts and the same numbers, so the appropriate relief applies and income is neither taxed twice nor omitted. ## Frequently asked questions ### Does France still tax me after I move to Portugal? Generally only on French-source income once your tax home has shifted to Portugal and the treaty tie-breaker treats you as resident there. France can still tax French public-service pensions, French real estate income and gains, and French-source dividends within treaty limits, while Portugal applies its ordinary tax-and-credit rules or the relevant exemption. ### What is the French exit tax, and will it apply to me? French exit tax can apply if you were resident for at least six of the preceding ten years and the relevant holdings represent at least 50% of a company’s profits or exceed EUR 800,000 in total value. A move to Portugal qualifies for automatic payment deferral, which is not cancellation. For covered unrealised gains under the current rule, relief can follow after two years of continued ownership, or five years where the relevant total value exceeds EUR 2.57 million. We coordinate the departure valuation and the forms with your French adviser. ### How is my French pension taxed once I live in Portugal? A French government-service pension is generally taxable only in France. Under the treaty exception it is taxable only in Portugal if the recipient is resident in Portugal and has Portuguese nationality. A private or occupational pension generally follows the residence-country pension rule. ### Does IFICI cover my French pension? No. IFICI, the regime that replaced NHR for new arrivals, does not exempt pensions. A French private or occupational pension that Portugal taxes is taxed at normal Portuguese rates. A true French civil-service pension is different and generally stays taxable in France. ### I have a French rental property. Where is it taxed? French real estate income and gains are taxable in France because that is where the property sits. Under the ordinary Portuguese rules, Portugal also taxes the income and grants a credit for eligible French tax within Portuguese and treaty limits. Qualifying foreign property income and gains can be exempt under IFICI; preserved NHR rights follow their own rules. Exemption does not remove applicable reporting obligations. This guide is by **[Telmo Ramos](/about/)**, our founder, an economist and member no. 16379 of the Ordem dos Economistas. ## Related guides - Guide · Law as at 19 October 2026 ### [How Portugal taxes foreign pensions in 2026](/guides/portugal-pension-tax-guide/) Portugal taxes a resident's foreign pension as Category H income at the progressive IRS rates, after the standard specific deduction of EUR 4,587.09 per recipient in 2026. - Guide · Law as at 19 October 2026 ### [Foreign income in Portugal: Anexo J step by step](/guides/portugal-foreign-income-tax/) A Portuguese tax resident is taxed on worldwide income, including income obtained abroad. - Guide · Law as at 13 June 2026 ### [Moving to Portugal: tax checklist for 2026](/guides/moving-to-portugal-tax-checklist/) Plan the tax steps before and after a move to Portugal: home-country departure, tax residence, NIF, income records, IFICI and your first return. ## Tell us about your situation For people living in Portugal with ties to France: we answer your questions, prepare your Portuguese return with your income from France and work with your adviser there. We reply within 2 working days with the right service, its price and how to start. ## Tax Consultation A 30-minute call with your adviser, then a follow-up memo within 3 working days after the call. [Book a Tax Consultation](/book/) --- Source: https://taxbordr.com/guides/french-expat-tax-portugal/ General guidance only. Individual facts govern.