This one-off tax, known as IMT (Imposto Municipal sobre a Transmissão Onorosa de Imóveis), is payable whenever possession of a property is deemed to have changed hands, which usually occurs on the date of signing of the Title Deed. The tax rate applicable is dependent on the type of property in question, for example, urban residential property, rural (rustic) property, urban site / plot for development purposes, etc. For more information, please contact us on +351 291 236 120.
| Purchase Price | Tax Calculation |
|---|---|
| Up to €109.375 | Exempt |
| €109.375 to €149.6254 | (Price x 2%) less €2.187,50 |
| €149.625 to €204.000 | (Price x 5%) less €6.676,25 |
| €204.000 to €340.000 | (Price x 7%) less €10.756,25 |
| €340.000 to €679.875 | (Price x 8%) less €14.156,25 |
| Greater than €679.875 | Flat rate of 6% |
* Values are approximate. For general guidance only.
For example: Property Price = €150,000
€150,000 x 5% = €7,500
€7,500 less €6.676,25 = €823,75
2. Notary Fees
These are the fees payable to the Public/Private Notary for drawing up and witnessing the signing of the Title Deed transfer and are due on the date of the signing:
- Notary Fee: Fixed value of €175 regardless of the type of property
- Mortgage Title Deed Fee: Fixed vale of €142 (only if you are buying with a mortgage)
- Stamp Duty: 0.8% of purchase price (paid by purchaser)
- Extras: Usually does not exceed €50
3. Registration
The final step in the procedure is to register the purchase with the Land Registry Office (Conservatória do Registo Predial) of the area in which the property is located, and at the Tax Office (Repartição de Finanças). The costs are as follows:
- Registration of purchase: Fixed value of €125
- Registration of mortgage: Fixed value of €135 (only if you are buying with a mortgage)
4. Municipal Property Tax (IMI)
This annual municipal tax, known as IMI (Imposto Municipal sobre Imóveis), is defined (and may be adjusted annually) by the City Council. For rates, please contact us on +351 291 236 120.
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Inheritance Tax
IHT has been abolished in Portugal. Gifts and inheritances to close relatives are exempt. 10% transfer tax is applicable otherwise.
Capital Gains Tax
A 25% flat rate is applicable.
* Although all necessary care has been taken to the proof and accuracy of the information provided, the same should serve as a general guideline.
