Residence (art. 4)
Swiss domicile against Portuguese 183 days or habitual home; when both claim you, permanent home, then centre of vital interests, then habitual abode, then nationality. Swiss cantons accept the Portuguese residence certificate for the refund of withholding tax and for pension-fund source tax.
- Art. 18: pensions for past employment — second pillar, private pensions — only in the residence state
- Art. 21: income not mentioned elsewhere, including the AHV, only in the residence state
- 5 % / 15 % — 10 % — 5 % on dividends, interest, royalties
- Exemption with progression in Switzerland, credit in Portugal (art. 23)
Pensions and the AHV
| Swiss income of a Portuguese resident | Article | Switzerland | Portugal |
|---|---|---|---|
| Second-pillar pension (BVG/LPP), vested-benefit annuities, private pensions | 18 | no tax; source tax withheld by the fund’s canton is refunded | progressive rates after the 4 587 € deduction |
| Second-pillar or pillar 3a lump sum | 18 | cantonal source tax at withdrawal, refundable on proof of Portuguese taxation | pension income; the capital component returning already-taxed contributions is excluded (art. 54.º) |
| AHV/AVS old-age pension | 21 | no tax, nothing withheld | progressive rates after the deduction |
| Government-service pensions (federal, cantonal, communal) | 19 | Switzerland only — unless the pensioner is a Portuguese resident and national | exempt with progression |
The refund of source tax on pension-fund payments is claimed from the cantonal tax administration with the Portuguese residence certificate and evidence of declaration in Portugal; without the Portuguese declaration the Swiss tax stays.
Dividends, interest, royalties (art. 10–12)
Source tax capped at 15 % on dividends (5 % for a company holding at least 25 %), 10 % on interest, 5 % on royalties. Switzerland withholds 35 % (impôt anticipé) on Swiss dividends and bank interest and refunds the excess over the treaty rate on the form for Portugal (three years to claim); Portugal’s 28 % on Portuguese-source dividends and interest falls to the treaty rate on Modelo 21-RFI. The residence state taxes in full and credits the treaty withholding.
Capital gains (art. 13)
Property where it stands (Portuguese IMT and half-gain taxation for Portuguese property; cantonal property gains tax for Swiss property); business assets of a permanent establishment where it is; all other gains — shares, funds, crypto — only in the residence state. A Swiss resident sells shares tax-free as a private investor; a Portuguese resident pays 28 % (less after two, five or eight years). Switzerland exempts a resident’s Portuguese property gains with progression, and only after proof of Portuguese taxation.
Employment and business (art. 5, 7, 15)
Salaries where the work is done, with the 183-day exception for short assignments paid by a non-resident employer; a permanent establishment through a fixed place of business, a building site of more than twelve months or a dependent agent.
Relief (art. 23)
Portugal deducts the Swiss tax paid on income the treaty lets Switzerland tax, up to the Portuguese tax attributable to it. Switzerland exempts Portuguese-source income and wealth it may not tax, with progression, and credits (or partially exempts) Portuguese withholding on dividends, interest and royalties.
Using the treaty
Residence certificate
From Finanças; needed for every Swiss refund and for the pension fund.
Withholding tax refund
Form 90 (Portugal) to the ESTV for dividends and interest; three-year deadline.
Pension-fund source tax
Refund claim to the canton with proof of Portuguese declaration of the pension or lump sum.
Portuguese return
Annex J with each Swiss item; credit for the treaty withholding only.
We prepare the Portuguese return with Swiss pensions and lump sums treated under articles 18, 21 and 54.º, obtain the residence certificates, and prepare the Swiss refund claims with your fiduciary. Ask about your case.
Questions
Is the 35 % withholding on my Swiss dividends lost?
No: 20 percentage points are refunded by the ESTV on the treaty form, and the remaining 15 % is credited against the Portuguese 28 %. Unclaimed after three years, the refund is lost.
Does the treaty cover Swiss wealth tax?
Yes — it covers taxes on income and on wealth. A Portuguese resident owes Swiss wealth tax only on Swiss property (and a Swiss permanent establishment); securities and accounts are taxable only in Portugal, which has no wealth tax.
Can Switzerland tax a lump sum I take after moving to Portugal?
It withholds source tax at withdrawal, then refunds it once you show the payment was declared and taxed in Portugal. Under NHR the refund was contested when Portugal charged nothing; ordinary Portuguese taxation since 2024 removes the argument.
Sources and official references
- Fedlex — Convention Switzerland–Portugal (RS 0.672.965.41), consolidated text with the 2012 protocol: art. 4, 10, 11, 12, 13, 15, 18, 19, 21, 23 — checked 18.9.2026
- ESTV — Portugal: convention of 1974 and protocol of 2012 (RO 2013 3573) — checked 18.9.2026
- Autoridade Tributária — treaty table 2026: Switzerland (dividends 5 % for 25 % holdings / 15 %; interest 10 %; royalties 5 %; protocol in force 21.10.2013) — checked 18.9.2026
- ESTV — impôt anticipé 35 % on income from movable capital, refundable to treaty residents — checked 18.9.2026
- Código do IRS, artigo 81.º — foreign tax credit; artigo 54.º — capital component of pensions — checked 18.9.2026