Additional Costs on Purchasing a Property in Portugal - Values 2013

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% No Deduction

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% No Deduction

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 2011 and for the moment still valid.

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 300 – 500 Euros

2) Stamp Tax: 0,8% calculated on the amount of the final property transaction value

3) Registrations: Between 100 - 200 Euros

4) Solicitor / Lawyer: Between 1.000 Euros – 1.500 Euros + 23% VAT (depending on the solicitor / lawyer)