IFICI (Tax Incentive Scheme for Scientific Research and Innovation) was created with a goal to give Portugal some mechanisms to attract qualified and specialised talent, making the country more competitive and appealing by offering more favourable tax treatment to individuals in terms of personal income tax.

This tax incentive was implemented by the 2024 State Budget, succeeding the Non-Habitual Resident (RNH) regime, which was in force until the end of 2023.

The IFICI provides for taxation through a special fixed rate of 20% on net income in categories A and B obtained in Portugal. It also grants an income tax exemption on income obtained abroad, even if this income is considered for the purposes of determining the tax rate applicable to non-exempt income.

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