Portugal's 10 year non habitual resident program excludes foreign income from taxation(excluding 10% for pensions). But I have read that if the income has not been taxed in the country of origin, Portugal will tax it locally. Which I understand. But I am still uncertain about a situation where I would have an offshore company, most likely in Cyprus(so not a tax heaven or a blacklisted country), and I would want to withdraw the taxed profits at the end of the year as the owner. Usually, taking out profits from your company means they are subject to income tax and will be taxed as such and that also usually entails required healthcare and social security "taxes". So I would like to know what is the situation in Portugal under NHR? My confusions stems from the fact that yes, when you withdraw taxed profits from your company, this is usually personal income to be taxed but Portugal's NHR program specifically states that no foreign income will be taxed. That is the whole point of the program(it is essentially temporary territorial tax regime). So what is the reality then?
