Portugal V.A.T. and Other Taxes

Portugal Real Estate Transfer Tax

  • A real estate transfer tax is payable in Portugal on the transfer of real estate.
  • There is an exemption up to a limit if the transfer concerns residential real estate.
  • The basic rate of tax on urban real estate is 6.5% up to 7.5% maximum.
    Non-urban real estate transfers are taxable at 5%.
  • When the buyer lives in a low tax jurisdiction the tax rate is 10%.

Portugal Property Tax

Real estate used as main residence and valued above EUR 1 million is subject to 1% tax.

Portugal Inheritance and Gifts Tax

  • Portugal Inheritance and gift tax was abolished on 1.1.2004, when relating to close relatives, parents, spouses and children.
  • The tax for non close recipients and inheritors was replaced by 10% stamp duty.