How much can the Municipal Property Tax rise in Portugal?

  The taxable assessed value (VPT) of urban properties, receives a yearly update in the framework of general evaluations. This can cause a significant increase of the Municipal Property Tax (IMI) in Portugal.   There is a regime, however, that limits the increase of the IMI resulting from the VPT update considering the sum of … Read More

IMI exemption for properties of minor taxable assessed value for low-income taxpayers

Portuguese properties of minor taxable assessed value belonging to low-income taxpayers are exempt, in the case of rural and urban properties of taxpayers whose total gross household income (for income tax purposes) does not exceed €13,300.00, and whose total taxable assessed value does not exceed €66,500.00.   Exemption is recognized by the property’s local Tax … Read More

Special cases of IMI exemption

In Portugal there are exemptions for properties classified as national monuments or of public interest, municipal value or cultural heritage. This exemption is automatic with notification of the classification as a national monument, or the individual classification as property of public or municipal interest, to be made by the Archaeological and Architectural Heritage Management Institute … Read More

IMI exemption in residential rental properties

Portuguese urban residential properties that are rented out are exempt for 3 years: properties (or portions thereof) that are rebuilt, expanded, improved or purchased for consideration, if it is the first transfer, for the portion intended for residential renting, if rented within 6 months of the purchase or completion of work. The exemption begins when … Read More

IMI tax exemption for storerooms, pantries and garages

Storerooms, pantries and garages (even when separate) may be exempt from IMI when they are part of the same building or housing complex of urban properties built, expanded, improved or purchased for consideration, and intended to be the permanent primary residence of the taxpayer or his/her household, provided that they are used exclusively by these … Read More