IMT Tax Calculator Portugal

Whether you are buying your first home, a luxury villa, or an investment property, understanding the IMT (property transfer tax) is essential to budgeting your purchase. Use our free, easy-to-use calculator below to see exactly what you’ll pay — no guesswork, no surprises. We also provide clear guidance and expert advice to help you plan ahead, avoid costly mistakes, and enjoy a smooth buying experience in Portugal.

IMT Tax Calculator

Property Location: Property Type: Property Price:
The IMT tax is levied on the value contained in the Contract or on the net asset value of the properties, whichever is greater.

IMT Tax : € 0.00
Stamp duty (0.8 %) : € 0.00
Total IMT tax : € 0.00

Tax Rates used

Up to € 92,407.00

0.00

From € 92,407.00 to 126,403.00

1,848.14

From € 126,403.00 to 172,348.00

5,640.23

From € 172,348.00 to 287,213.00

9,087.19

From € 287,213.00 to 574,323.00

11,959.32

From € 574,323.00 to 1,000,000.00

0.00

Above € 1,000,000.00

7.5%

0.00

What is IMT and Why Does it Matter?

IMT, or Imposto Municipal sobre Transmissões Onerosas de Imóveis, is Portugal’s municipal property transfer tax. It is a one-time tax you must pay whenever you buy real estate in Portugal, whether it’s a residential home, holiday villa, or investment property. IMT is based on the property’s declared purchase price or taxable value (whichever is higher), and it is payable before the deed is signed and ownership is transferred.

Understanding your IMT liability is crucial because it can represent a significant cost of your purchase. The rate depends on several factors, including:

The type of property (urban, rural, residential, or commercial)
Whether it’s your primary residence or a secondary home
The property’s value, with progressive rates that increase with price brackets
If the property is located in a territory considered a tax haven

Unlike annual property taxes (such as IMI, which you pay every year), IMT is a one-off payment due at the time of purchase. Failing to budget for it properly could disrupt your transaction or even delay closing.

Our calculator and expert guidance take the confusion out of IMT, ensuring you know exactly what to expect. By planning for IMT ahead of time, you can make informed decisions and avoid unexpected costs that could otherwise catch buyers by surprise.

How IMT is Calculated

IMT is calculated as a progressive tax on the value of the property you are purchasing, meaning that higher-value homes are taxed at higher rates. The calculation is based on the greater of the declared purchase price or the tax-assessed value (VPT) of the property.

The Portuguese tax authority uses official IMT rate tables, which define tax brackets and corresponding rates depending on the type of property and its intended use. The key variables that influence how much IMT you pay include:

Property type: Residential, commercial, rural, or urban
Usage: Main residence (primary home) or secondary residence
Price of the property: Rates are progressive, starting low for cheaper homes and increasing as the price rises
Location: Properties in Portuguese “blacklisted” tax haven jurisdictions incur a flat 10% rate

For residential properties purchased as a primary residence, buyers benefit from a partial exemption on the first €97,064 (2024 rates), and the tax is applied only to the portion above this amount. Secondary homes do not enjoy this exemption.

The result is not simply a percentage of the total purchase price. The calculation subtracts a fixed deduction from the bracket rate to ensure a smooth progression between tax brackets. This makes the effective IMT rate slightly lower than the marginal rate at each step.

Knowing exactly which category and bracket your property falls into is vital. This is where our IMT calculator and professional advice help you avoid overpaying and ensure your budget accounts for the correct amount upfront.

IMT Rates and Example Calculation

The IMT tax in Portugal is calculated based on the property type, its intended use, and the purchase price. Here are the current 2024 rates for residential properties:

Primary residence (main home): Progressive rates starting at 0% for properties up to €97,064, increasing to a maximum of 6% for properties over €550,836.
Secondary residence or rental investment: Progressive rates starting at 1%, up to a maximum of 7.5% for higher-value properties.
Commercial, urban plots, or other non-residential: Flat rate of 6.5%, regardless of value.
Blacklisted jurisdictions (tax havens): Flat rate of 10%, regardless of value.

The IMT is calculated on the higher of the declared purchase price or the tax-assessed value (VPT) of the property.

Example: €1,000,000 Property

Suppose you purchase a residential property in Portugal as your primary residence, for €1,000,000.

The first €97,064 is exempt.
The next portions are taxed at progressive rates, with specific deductions applying at each bracket.
Once the brackets are applied and deductions factored in, the total IMT due comes to approximately €55,800, reflecting an effective rate of just under 5.6% of the purchase price.

For secondary homes or rental investments, the IMT on the same €1,000,000 property would be slightly higher due to different rates and fewer deductions, totaling around €60,000–€62,000.

Because of the progressive structure of IMT and the many brackets, calculating the exact amount without a calculator or professional advice can be challenging. Use our IMT Calculator to estimate your tax easily, and feel free to contact us for a detailed breakdown.

We also recommend planning for other costs like IMI tax, notary free, legal costs and registration fees as part of your total budget.

When and How to Pay IMT in Portugal

Once you’ve signed the promissory contract (Contrato Promessa de Compra e Venda) and are ready to finalize your property purchase, the IMT tax must be paid before signing the final deed (Escritura). This is a crucial step, as the notary will require proof of IMT payment before allowing the transaction to close.

When to Pay:

IMT is due immediately before the deed of purchase.
You cannot complete the property transfer without showing proof of payment.

How to Pay:

IMT can be paid at any tax office (Serviço de Finanças) or through the official Portuguese Tax Authority portal (AT Portal).
You’ll need your property tax reference number (Caderneta Predial) and the promissory contract details.
Payment is usually made by bank transfer, debit card, or cash (up to certain limits).
After payment, you will receive a tax receipt (Guia de Pagamento) which must be presented to the notary.

We always recommend letting our team guide you through this step. Mistakes in IMT payment — such as paying the wrong amount or using incorrect property details — can cause unnecessary delays and even legal complications.

If you’re unsure about how much to pay, use our IMT Calculator or get in touch with us for personalized guidance on your specific transaction.

Frequently

Asked Questions

Frequently Asked Questions About the IMT tax in Portugal

IMT (Imposto Municipal sobre Transmissões Onerosas de Imóveis) is a property transfer tax charged whenever real estate in Portugal is purchased. It’s calculated based on the higher of the declared purchase price or the property’s tax-assessed value (VPT). IMT is a one-time tax, due at the time of deed signing (escritura). Every property transaction in Portugal, whether residential, commercial, or land, is subject to IMT unless an exemption applies.

IMT is calculated using a progressive rate table, which varies depending on:

Whether the property is primary residence or secondary
Whether it’s urban or rural land
The declared or VPT value of the property

Rates start at 0% for certain thresholds and can go up to 7.5% for luxury properties over €1 million, plus AIMI (wealth tax) if applicable. Your notary or lawyer typically calculates IMT for you, but you can estimate it yourself using an IMT calculator.

IMT must be paid before the property deed (escritura) is signed. The notary will require proof of IMT payment (along with stamp duty) at the time of transfer. IMT is a one-off payment and cannot be financed as part of a mortgage. Buyers usually make the payment at a local tax office or online through the AT (Autoridade Tributária) website.

While IMT is a one-time tax on the purchase of a property, AIMI (Adicional Imposto Municipal sobre Imóveis) is an annual property tax on higher-value properties. AIMI applies to properties (or combined property portfolios) worth more than €600,000 for individuals. Many luxury property buyers pay both IMT at purchase and AIMI each year after.

No, IMT does not apply to inheritance or donations between immediate family members, but stamp duty (IS) at 0.8% is usually due instead. For distant relatives or unrelated recipients, other taxes and higher rates may apply.

No. IMT, along with stamp duty and notary fees, must be paid out of pocket before signing the deed. Portuguese banks do not include taxes or fees in the mortgage loan.

If IMT is not paid on time, the notary will refuse to sign the deed of purchase, effectively halting the transaction. Late payment can also incur interest, fines, and possible legal consequences. Always arrange IMT payment in advance and confirm with your lawyer.

IMT is calculated on the higher of the two values:

Declared purchase price (in the deed)
Tax-assessed VPT value (Valor Patrimonial Tributário)

This ensures buyers cannot underreport the price to reduce tax liability.

Non-residents pay the same IMT rates as residents when buying property in Portugal. However, AIMI may apply at a lower threshold for companies or non-resident entities. If the property is for primary residence, proof of intention to reside may be requested to benefit from lower rates.

Yes. Whether buying as an individual or through a company, IMT is still applicable at the time of purchase. Some corporate structures may impact ongoing AIMI or property tax but do not eliminate IMT.

IMT Tax Calculator Portugal