Everything begins in the mind

Where to start

Nothing, is as difficult as the beginning, but if you prepare well, that's half the battle. We set our own boundaries and hurdles and they are only in our heads. You have chosen where you live now, so you can live anywhere on earth, you just have to want it and allow it. Don't worry too much but proceed in a structured way in small steps.

If you are serious about it and no longer have any doubts, "Congratulations", then you have taken the first step.

The sun setting through a dense forest.
The sun shining over a ridge leading down into the shore. In the distance, a car drives down a road.

What is please NIF ?

At the beginning you need a NIF. The NIF is the "Número de Identificação Fiscal", a nine-digit Portuguese tax number. If you don't have one, you'll soon get bored. Because without the NIF you can do almost nothing in Madeira, except go on holiday of course. You need the NIF for all kinds of transactions, such as renting a flat, registering a telephone, starting a business, buying a house, buying a car, opening a bank account, or, or, or. As you can see, nothing works without a NIF.

So we get ourselves a NIF. And it's actually quite simple. You go to a tax office in a place of your choice, e.g. Calheta, Ponto do Sol, Santa Cruz, Funchal, take a number at the counter as you would at the local public order office and wait until you are called. Then you explain your request and off you go. All you need is your identity card and some small change (ca. 15 Euro). After 10 minutes you already have your NIF in your hands. That's it! A small but important first step has been taken.

Flexibility

When you arrive on the island, you will quickly realize that it is basically possible to get around without a means of transport, but in most cases the radius of movement is limited to the capital Funchal. The nearest towns can also be reached by public transport, but it takes time and a little skill. The bus system in Madeira is somewhat complicated. This is because there are four different bus companies and the information about the connections is not easy to find. Because the bus companies still use the old coastal roads, it is also a time challenge to get to certain places.

The thought quickly occurs to me that if I'm on holiday, I should hire a car. There are numerous car hire companies on the island. Many require high credit card deposits (up to 1500 euros).
It depends on the time of year, then the hire fees are exorbitantly high. I remember one of our first visits, when it was 1400 euros for a 7-day stay. We are happy to pass on the money we learnt to you.

Either book the vehicle in advance from your home country, we have had very good experiences with Check24 from Germany as the customer service is very helpful should there be any problems, or use the experiences of other visitors or vacationers. Document all damage to the vehicle when you pick it up. The best way to do this is by cell phone recording.

But you are also welcome to contact us.

As an emigrant, you can hardly avoid having your own car.
Option 1: Either you bring your car with you to the island or
Option 2: You buy one on the island from a local dealer.
We prefer the second option as we support local traders and money circulates on the island. If you want to bring your own car, there are a few hurdles to overcome. Here is a small list of the approximate costs. The ferry crossing from Porto to Canical costs between 450 € and 600 €.

  1. Submission of the vehicle documents to the Autoridade Tributária e Aduaneira (Fee: approx. €50).
  2. Technical inspection at TÜV (Costs: approx. €90).
  3. Return to the Autoridade Tributária e Aduaneira for customs documents.
  4. Application for import at customs with a customs agent (Costs: approx. €125) and registration tax (approx. €1700).
  5. Obtaining the Portuguese licence plate and road registration (Fee: approx. €20).
  6. Deregistration of the vehicle in Germany after receiving the Portuguese license plate.

Please note that the vehicle must be registered to you for at least 1 year before import and must have travelled at least 6000 km.
After that, you are tied to this vehicle for 5 years. If you sell before then, the tax is due retroactively on a pro rata basis.
It is also very important that you have to deregister completely from Germany within 6 months, otherwise the tax saving will be cancelled.

Variant 2, on the other hand, is very relaxed.


(All prices are approximate and may change annually).