Portugal Tax Calculator (IMT Portugal)

If you’re on the eve of purchasing a property in Portugal, you need to understand the Property Purchase Tax (IMT) as it is one the largest additional expenses that a property purchase brings about. 

IMT is the priciest tax you’ll be required to pay when buying a home in Portugal. Hence, having a more comprehensive knowledge of it will enable you to better plan your budget during and after your purchase. 

Aiming to provide you with all the essential information about IMT Portugal, this post explains what IMT Portugal is, how to calculate it, and when and how to pay for it. It’ll also inform you about the ABCs of the IMT calculators. 

A. IMT Tax and Stamp Tax Simulation

The property transfer tax is called IMT (Imposto Municipal Sobre as Transmissões Onerosas de Imóveis) and can be simulate din the section A.

Simulation Results

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B. IMI Tax Simulation

In Section B you can simulate the annual property tax IMI (Imposto Municipal sobre móveis).

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What Is IMT Portugal?

IMT Portugal is a tax that’s paid to the Portuguese state during the onerous transfers of rights on a property. Therefore, the IMT is paid whenever a financial transfer between a buyer and a seller takes place upon the purchase of a property inside Portugal. IMT is the primary tax you’ll need to take into consideration while planning your budget because it’s the most expensive tax you’re required to pay when purchasing a property. 

The amount that should be paid as IMT varies depending on many factors such as the location and purpose of the property, the tax rate that varies between 1 to 8 percent, and the taxable equity value of the property or the acquisition value of the property deed. In some cases, on the other hand, properties may be exempt from these IMT payments. 

How to Calculate IMT

The calculation of the Portuguese IMT is based on the following factors: 

    • Acquisition price (furniture not included)
    • The ultimate purpose of the purchased property
    • The location of the property (whether it’s in the Portuguese mainland or Azores/Madeira islands)
    • If you’re purchasing the property as a second home or your primary residence

Table 1. Mainland – Permanent Residence 

Value (euros) Marginal rate  Deductible
Until 92,407

More than 92,407 until 26,403

More than 126,403 until 172,348

More than 172,348 until 287,213

More than 287,213 until 550,836

                          0

                          2

                          5

                          7

                          8

                        0

                     924,07

                    4,716,16

                    8,163,12

                   11,035,25

More than 550,836 until 1m Flat rate of 6%
Above 1m Flat rate of 7.5%

Table 2. Mainland – Second Home

Value  Marginal rate Deductible
Until 92,407

More than 92,407 until 26,403

More than 126,403 until 172,348

More than 172,348 until 287,213

More than 287,213 until 550,836

                          1

                          2

                          5

                          7

                          8

                        0

                     924,07

                    4,716,16

                    8,163,12

                   11,035,25

More than 550,836 until 1m Flat rate of 6%
Above 1m Flat rate of 7.5%

To calculate IMT, you need to follow the steps listed below:

    • Pick the IMT table relevant to your property’s location and use
    • Specify the range your property’s value falls within (the used value should exceed the asset value and the acquisition value)
    • Multiply the said range by the applicable rate 
    • Subtract the amount from the obtained value 

IMT Rates

The IMT tax rates ranges vary depending on the scope of the purchase. 

    • Agricultural land: 5 percent
    • Urban buildings for housing: 1 to 6 percent
    • Urban buildings for personal permanent housing: up to 6 percent
    • Other purchases: 6.5 percent
    • Buildings purchased by special tax polity-benefitting entities: 8 percent

What’s A Portugal Tax Calculator?

The IMT calculator is an online tool that helps you calculate your Portuguese property tax when buying a home. To use the Portugal property tax calculator, you simply need to enter the numbers corresponding to the items specified in the previous section of this post into the gadget’s relevant slots.

Why Are Portugal Property Tax Calculators Useful?

Purchasing a property is a financially complex and costly process. Using the Portuguese tax calculator for your calculations allows you to get a quicker and more accurate result. Hence, it paves the way for a much healthier budget plan. 

When Should I Pay an IMT?

You’re required to pay the IMT Portugal tax in case you’re a part in one of the following events or transactions: 

    • Selling or purchasing a used or new property
    • Exchange of property
    • Early liquidation of a leased property

IMT Portugal Tax Cost

The cost of IMT tax in Portugal is calculated based on the value of the property being transferred and ranges from 1% to 8%. The exact rate will depend on the specific municipality where the property is located, as well as the type of property being transferred. Additionally, the tax rate may be different for the purchase of a primary residence vs the purchase of an investment property.

FAQ 

What is the Portugal IMT calculator?

IMT (Imposto Municipal sobre as Transmissões Onerosas de Imóveis) is a property transfer tax in Portugal. A Portugal IMT calculator is an online tool that allows individuals to calculate the amount of IMT they will need to pay when buying or selling a property in Portugal. The Portugal tax calculator takes into account factors such as the value of the property, the type of property, and the tax status of the buyer and seller. It is usually provided by the government or by private real estate companies.

What is Portugal’s IMI tax?

IMT (Imposto Municipal sobre as Transmissões Onerosas de Imóveis) is a property transfer tax in Portugal. A Portugal IMT calculator is an online tool that allows individuals to calculate the amount of IMT they will need to pay when buying or selling a property in Portugal. The calculator takes into account factors such as the value of the property, the type of property, and the tax status of the buyer and seller. It is usually provided by the government or by private real estate companies.

How is the Portugal property tax calculated? 

The Portugal property tax, or IMT, is calculated based on the value of the property and the applicant’s tax status. The IMT calculator can be used to estimate the amount of the tax.

Where can I find a Portugal IMT calculator?

There are several IMT calculators available online, including on the Portuguese government’s website. Some real estate websites also offer an IMT calculator as a tool for potential buyers.

What are the exemptions and reductions on IMT Portugal?

There are various exemptions and reductions available for the IMT tax, such as for first-time buyers, low-income families, and properties with energy efficiency certifications.

Can I use an IMT calculator to estimate the cost of property tax for a specific property in Portugal?

Yes, an IMT calculator can be used to estimate the property tax for a specific property in Portugal based on the property’s value and the applicant’s tax status.

 

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