Taxes when buying property

Taxes

Here is our quick guide to taxes in Portugal when buying a property, for the full comprehensive list of all the taxes associated not only when buying but after purchase including rentals and income tax. For further information  please fill out our contact form, so we can contact you for more assistance.

IMT

The biggest tax here in Portugal when you buy a property is called IMT (Imposto Municipal Sobre Transamissoes) it is payable when you do the deeds and is calculated as a percentage of your purchase price, there is a variable discount against your percentage that is also dependent on your purchase price, don’t worry if it’s confusing we can explain it much clearer for you in person.

The range is from 2% up to 6% on residential purchases and is a flat rate of 6.5% on Commercial, Properties under 92,000 are exempt, This government fee is Payable at the Deeds

Stamp Duty

0.8% of the agreed Purchase Price Payable at the Deeds

Lawyers’ Fees

Usually paid either in advance or 50/50 dependent on the lawyer and the work involved at the beginning, Lawyers fees are broken it to lots of different sectors such as, Conveyancing, Fiscal Representation, Golden Visa Acquisition and Non- Habitual Residence Application.

Notary and Land Registry Fees

These are also payable at or just after the deeds and usually total around 1,000€

As your taxes payable will be dependent on your purchase price, it is difficult for us to put a number on it until you have chosen a property of interest so as a rule if you allow 8% above your purchase to cover everything you shouldn’t be far away.

If you would like a full breakdown of all your taxes when buying and renting in Portugal, for further information  please fill out our contact form, so we can contact you for more assistance.