Buying in Portugal
IMT calculator: what you will pay in property transfer tax in Portugal in 2026
Before the deed on any property in Portugal the buyer pays two taxes: IMT, the municipal transfer tax, and Stamp Duty at 0.8%. Run the numbers with the 2026 tables, the IMT Jovem exemption and the new flat rate for non-residents.
Updated October 2026
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2026 tables in force
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Wiseguys Properties, AMI 23109
The basics
What IMT is, and what it is charged on
IMT — Imposto Municipal sobre as Transmissões Onerosas de Imóveis — is a one-off tax on the transfer of real estate in Portugal, paid by the buyer and collected for the municipality where the property sits.
It is due on the higher of two values: the purchase price stated in the deed, or the property's tax value (VPT, valor patrimonial tributário) recorded in the Land Registry. On most transactions the price is higher, but on older properties recently revalued, or on sales between family members, the VPT can be the base. Stamp Duty (Imposto do Selo) is charged on the same base at a flat 0.8%.
Both taxes are paid before the deed is signed. The notary or Casa Pronta desk will not complete the transaction without proof of payment.
The tables
IMT rates in 2026
The brackets were updated by 2% in the 2026 State Budget. For a main home (habitação própria e permanente) on the mainland:
Taxable value
Marginal rate
Deduction
Up to €106,346
Exempt
—
€106,346 – €145,470
2%
€2,126.92
€145,470 – €198,347
5%
€6,491.02
€198,347 – €330,539
7%
€10,457.96
€330,539 – €660,982
8%
€13,763.35
€660,982 – €1,150,853
6% flat
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Over €1,150,853
7.5% flat
—
The tax is the value multiplied by the marginal rate of its bracket, minus the deduction.
€250,000 main home → €250,000 × 7% − €10,457.96 = €7,042.04 of IMT, plus €2,000 of Stamp Duty.
For a second home, holiday home or property bought to let, the first bracket is taxed at 1% instead of being exempt, and the 8% band ends at €633,931; the deductions are correspondingly smaller. Rural land (prédio rústico) pays a flat 5%; shops, offices, building plots and other urban property pay 6.5%. In the Azores and Madeira every threshold is 25% higher.
Under 35
IMT Jovem: the exemption for buyers up to 35
Since August 2024, a buyer aged 35 or under purchasing their first permanent home pays no IMT and no Stamp Duty up to €330,539 in 2026. Between €330,539 and €660,982 the exemption is partial: 8% IMT and 0.8% Stamp Duty apply only to the amount above the threshold. Above €660,982 the standard table applies to the whole value.
The conditions: the buyer must be 35 or under on the date of the deed, must not have owned a residential property in the previous three years, must not be treated as a dependant in someone else's IRS return, and must move in and register the property as their tax address. When a couple buys together and only one qualifies, the exemption covers that person's share.
New in 2026
The 7.5% IMT for non-residents
Decree-Law 97/2026 introduced, for deeds signed from 25 May 2026, a single IMT rate of 7.5% from the first euro on housing bought by individuals who are not tax resident in Portugal and have never been.
The progressive table, the exemption band and IMT Jovem do not apply. Nationality is irrelevant: a Portuguese emigrant who never held tax residency pays 7.5%; a French citizen who lives in Lisbon pays the standard rates. Where a married couple buys under a community-of-property regime, the flat rate only applies if neither spouse has ever been resident.
The surcharge is recoverable in two situations: if the buyer becomes tax resident in Portugal within two years of the purchase, or if the property is let at a moderate rent (up to €2,300 a month in 2026) within six months and stays let for at least 36 months during the first five years. In either case the refund must be claimed within six months of meeting the condition. For a buyer who intends to relocate, the practical answer is often to plan the move before the deed, or to budget the 7.5% as a two-year bridge that comes back.
The rule applies to urban property intended exclusively for housing. Rural land, commercial premises and building plots keep their own rates regardless of residency.
€400,000 apartment
€30,000
IMT as a non-resident
Same apartment
€18,237
IMT as a resident (main home)
Difference
€11,763
Refundable if you become resident within two years
Beyond IMT
Stamp Duty and the other costs of buying
Stamp Duty on the purchase is 0.8% of the taxable value, paid together with IMT. If the purchase is financed, a second Stamp Duty of 0.6% is charged on the loan amount. Add the deed and registration — around €375 through Casa Pronta, more with a private notary — and, with a mortgage, the bank's valuation fee and arrangement costs.
As a rule of thumb, a resident buying a €500,000 main home with a 70% mortgage should budget roughly 7% of the price in taxes and fees before the keys; a non-resident, closer to 9%.
When and how IMT is paid
The IMT return (Modelo 1) is filed on the Portal das Finanças, usually by the notary, lawyer or Casa Pronta desk handling the deed, and generates a payment reference. The tax is paid before the deed — or, for a property bought abroad, within the following month. Exemptions are claimed on the same return and are checked automatically by the Tax Authority against the buyer's age, residency and property history. If the price in the deed is later found to be below the VPT, the difference is assessed on the VPT.
Worked examples
Three purchases, three very different bills
Lisbon · resident · aged 31
€280,000 first home
€0
IMT Jovem applies in full: no IMT, no Stamp Duty. Costs before the keys are the deed and registration only.
Alentejo · resident · second home
€650,000 farmhouse
€44,500 total
Second-home table, 8% band: €650,000 × 8% − €12,699.89 = €39,300.11 of IMT, plus €5,200 of Stamp Duty.
Lisbon · resident in London
€1,200,000 townhouse
€99,600 total
Flat 7.5%: €90,000 of IMT plus €9,600 of Stamp Duty. A resident would pay the same here — above €1,150,853 the standard table is also 7.5%. The non-resident rule bites hardest between €106,000 and €700,000.
QUESTIONS
Frequently asked questions
The buyer. The seller's tax is on the capital gain, declared in the following year's IRS return.
On whichever is higher. The VPT appears on the property's Caderneta Predial; ask the seller for a recent copy.
Only if they are tax resident in Portugal at the time of the deed — the exemption requires the property to be the buyer's permanent home. A non-resident who has never been resident is on the 7.5% flat rate instead.
Yes. The test is tax residency, not nationality or EU membership.
If the deed is signed while you are still non-resident, you pay 7.5% and can reclaim the difference once you become resident, provided that happens within two years and you file the claim within six months. Becoming resident before the deed avoids the outlay altogether. Both are workable; the second is simpler.
No — inheritances and gifts are subject to Stamp Duty at 10% (with exemptions for spouses, children and parents), not IMT.
Rural land pays a flat 5%; building plots and other urban land pay 6.5%, whatever the value.
Yes. They were set by the 2026 State Budget and confirmed by the Tax Authority in January 2026; the non-resident rate by Decree-Law 97/2026 in May. We update this page whenever the law changes.
Wiseguys Properties
Buying in Portugal with an advisor on your side
Tax is one line in the cost of a purchase; negotiating the price, checking the title and knowing which properties never reach the portals are the others. We represent buyers of houses, estates and apartments of character in Lisbon, the Alentejo and across Portugal.
Also useful: Properties for sale in Portugal · Buying property in Portugal — the guide · Selling a property in Portugal · Coming soon: capital gains calculator, IMI calculator.