SEF documentation for residency extensions counting towards 5-year citizenship timeline

Is proof of legal residency the same as Certidão de Contagem do Tempo?

What does this mean? I thought your residency permit would be enough?

Proof of residency through the residency permit would be enough if the ARI residency card were for 5 continuous years.
ARI cards are renewed at 2 year intervals, and until this year when an automated system was permitted there were very long delays in obtaining SEF appointments at each renewal stage. Thus ARI residency cards (often) underestimate residency because they do not count the time waiting for renewals (ie for a new card).
Hence, before the application for citizenship, the applicant usually asks SEF to supply a certificate, called a Contagem de Tempo, which delcares the total period of residency. Such SEF certification is required by the IRN (which reviews citizenship applications).

A search for “contagem de tempo” on this site will give you more information.

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