Living in Portugal
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Wealth taxes

If you are a property owner, you should take the following information into account


What is the Municipal Property Tax?
It is the municipal tax on the taxable value of properties.
Who has to pay this tax?
Anyone who owns a property, on December 31 each year.
What is the tax rate?
A variable rate of between 0.3% and 0.5%, established by municipalities on an annual basis, is applied to the taxable value of residential, commercial or industrial urban properties, and others used for services and other uses.
When should this tax be paid?
Annually, for the previous year, on the following dates:
  • An amount of €250 or less - an annual payment in April;

  • An amount of more than €250 and less than or equal to €500 - two payments in April and November;

  • An amount of more than €500 - three payments in April, July and November.
How is this tax paid?
At any Finance Service Office, or through CTT, Multibanco or Home Banking.

You should know that if you reside outside the European Union, you must appoint a representative with a tax domicile in Portuguese territory. This can be done at any Finance Service office or through the Finance Website.

A Stamp Duty rate of 1% applies if the taxable value of a residential urban property is 1,000,000 Euros or more.

There are higher rates if the purchasing party is a legal entity resident in a country, territory or region subject to a tax regime that is clearly more favourable. In these cases, the rates charged are as follows:
  • Tax on the Transfer of Property for a Valuable Consideration – 10%
  • Municipal Property Tax – 7.5%
  • Stamp Duty – 7.5% (on all urban properties with a value of 1,000,000 euros or more)
THIS INFORMATION IS NOT INTENDED TO BE A SUBSTITUTE FOR CONSULTING THE APPLICABLE LEGISLATION
Governo de Portugal