IMT: This is the tax that you have to pay if you purchase a property in Portugal. The following table is applicable since 1st of January 2018:
Purchase for PERMANENT LIVING in Portugal
Property Value Tax Amount To Be Deducted
0 – € 92.407 0% 0
€ 92.407 – € 126.403 2% – 1.848,14 Euros
€ 126.403 – € 172.348 5% – 5.640,23 Euros
€ 172.348 – € 287.213 7% – 9.087,19 Euros
€ 287.213 – € 574.323 8% – 11.959,32 Euros
More than 574.323 Euros 6% 0
SECONDARY HOUSING in Portugal
( Vacation / Rental / Investment – Secondary home )
Property Value Tax Amount To Be Deducted
0 – € 92.407 1% 0
€ 92.407 – € 126.403 2% – 924,07 Euros
€ 126.403 – € 172.348 5% – 4.716,16 Euros
€ 172.348 – € 287.213 7% – 8.163,12 Euros
€ 287.213 – € 550.836 8% – 11.035,25 Euros
More than 550.836 Euros 6% 0
Rustic land 5%
Construction plots 6,5%
CALCULATION SAMPLE based on investment for holidays, renting or just investment:
If you purchase a property in Portugal with the value of 200K Euro the basic tax is of 7% – but the tax office will deduct 8.163,12 Euros of the amount – you will pay for this property 5.836,88 Euros purchase tax (IMT) .
The following costs are to be considered on top of the IMT (unique purchase tax):
1) Notary: Between 400 – 600 Euros
2) Stamp Tax: 0,8% calculated on the amount of the final property transaction value
3) Registrations: About 250 Euros
4) Solicitor / Lawyer: Between 1.000 Euros – 5.000 Euros + 23% VAT (depending on the solicitor / lawyer and the price of the property).
Very useful information!