Free Portugal guide: no inheritance tax, but a return you still owe
Free guide for British expats in Portugal
An English law election works cleanly in Portugal, and the tax bill lands in Britain instead.
An 18 page guide for British expats in Portugal. It covers the legítima, the article 22 election of the law of England and Wales, the 10% stamp duty and who is exempt from it, and the return that exempt families still have to file. It also walks through what happens at the notary and the registry after a death.
- 18 pages
- Updated August 2026
- No payment details
- The Portuguese reserve and the article 22 law election
- Intestacy shares and Portuguese will registration
- The ten per cent stamp duty and the filing deadline
- Why the real bill sits on the UK side
Twenty minutes of reading that keeps a Portuguese deadline off your family.
What happens to your estate
With a valid will
Article 22 of Regulation 650/2012 lets a British national elect the law of England and Wales, and English law reserves no fixed share for anybody. Portugal has enacted no equivalent of the French compensatory levy, and the legítima is not among the special rules Portugal notified under article 30, so nothing claws the election back over Portuguese assets. A Portuguese public will is written into the notary's protocol book and reaches the central registry.
Without a will
Article 22 needs a disposition of property upon death, so an intestate British expat habitually resident in Portugal gets Portuguese succession law with no route back to English law. Intestacy calls a fixed order of classes: a spouse and one child take half each, a spouse and two children a third each, and the spouse never takes less than a quarter. The children own their portion from the moment of death.
Outside your will entirely
Portuguese stamp duty follows where the asset is, and for money and cryptoassets it asks first where they are deposited rather than where the deceased lived. Portuguese co-ownership carries no automatic survivorship, so the deceased's share passes under the succession rules and a joint bank account is no shortcut. The surviving spouse's right to be granted habitation of the family home was notified under article 30, so it attaches to the property whichever law governs.
With a valid will
Without a valid will
Assets outside the will
Key facts
- Two thirds Where a spouse and one or more children survive, Portuguese law reserves two thirds of the estate between them and leaves one third freely disposable. Lifetime gifts are notionally added back into the estate before the fractions are applied.
- 10% Portugal abolished inheritance tax in 2004 and taxes gratuitous transfers through stamp duty at a flat 10%. Spouses, partners in a recognised união de facto, descendants and ascendants are exempt, so for the ordinary British family the Portuguese death tax bill is nil.
- End of month three The stamp duty return is due by the end of the third month following the month of death, and exempt beneficiaries still have to file it. The code says the deadline is not extendable, and the only relief is a justified application for a postponement of up to 60 days.
- Two thirds reserved where spouse and children survive. Portuguese law reserves two thirds of the estate between a surviving spouse and children, leaving one third freely disposable. Lifetime gifts are notionally added back before the fractions are applied.
- 10 per cent stamp duty instead of inheritance tax. Portugal abolished inheritance tax in 2004 and taxes gratuitous transfers at a flat ten per cent. Spouses, união de facto partners, descendants and ascendants are exempt, so the ordinary British family pays nothing.
- End of month three and not extendable. The return is due by the end of the third month following the month of death. The code says the deadline is not extendable, and the only relief is a justified application for up to 60 days.
What is inside the guide
Wills and estate planning for British expats in Portugal Why an English law election works cleanly in Portugal, who escapes the 10% stamp duty, and why none of it reduces your UK inheritance tax. Free download · 2026 edition · 18 pages
Common questions
Portugal has no inheritance tax, so has my family's tax problem gone away?
Not the British half of it. Spouses, união de facto partners, children and parents are exempt from the 10% stamp duty, so in the ordinary case nothing is paid in Portugal. There is no inheritance tax treaty between the UK and Portugal, and unilateral relief credits foreign death tax actually charged, so with nothing paid in Portugal there is nothing to set against the UK charge. Portugal has taken itself out of the death tax business for close relatives, which means the whole bill lands in one place.
Portugal has no inheritance tax, so has the tax problem gone away?
Not the British half of it. Spouses, união de facto partners, children and parents are exempt from the ten per cent stamp duty, so in the ordinary case nothing is paid in Portugal. There is no inheritance tax treaty between the UK and Portugal, and unilateral relief credits foreign death tax actually charged, so with nothing paid in Portugal there is nothing to set against the UK charge. The whole bill lands in one place.
Is it really free?
Yes. No payment details, no trial, no catch. The guide shows you how we think before you decide whether to use us for anything.
Will you fill my inbox?
We send the guide, and nothing else unless you tick the box for the email series. Every email in it has an unsubscribe link that works first time.
Is this legal advice?
No. The guide is general information for British expats, written in plain English. Expat Legacy is a will writing service rather than a law firm.
About the author
Jamie Lee, founder of Expat Legacy, has drafted more than 2,000 wills for British expats. He has lived the expat life himself since 2004.
Twenty minutes of reading, or a missed Portuguese deadline
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Articles on Portugal
All country guides · Read the Portugal article · Wills and pricing