IMT for non-residents (foreign buyers) in Portugal (2026)
Updated for the 2026 tax changes
This page reflects Decree-Law no. 97/2026, which introduces a flat 7.5% IMT rate for non-resident buyers of residential property, in force since 25 May 2026 (the decree sets no special date for the IMT change, so the general five-day rule applies).
New 7.5% flat rate for non-residents (2026)
Decree-Law no. 97/2026 introduces a flat 7.5% IMT rate on the acquisition of urban residential property (or fractions) by buyers who are not tax-resident in Portugal. It applies without the usual progressive brackets, reductions, or HPP exemptions, and has been in force since 25 May 2026.
You can ask the Tax Authority to cancel the difference between the 7.5% paid and the standard progressive rates if, after the purchase, you either:
- Become a Portuguese tax resident within two years of the acquisition (a route open to individuals only — for companies, see the company purchase guide), or
- Allocate the property to moderate-rent long-term housing — sign a residential lease within 6 months and keep it for at least 36 months during the first 5 years. The rent cap is 2.5 × the national minimum wage (€2,300/month for 2026) and may be updated by portaria.
- File the request in time — the cancellation (anulação) must be requested from the Tax Authority within 6 months of the qualifying event (art. 17.º n.º 12 CIMT); missing the deadline forfeits the refund. As of mid-2026 the AT had not yet published procedural guidance for these requests.
The rule is based on tax residency, not nationality — EU and non-EU buyers are treated the same.
How much more do non-residents actually pay?
The 7.5% flat rate isn't always a disadvantage — it depends entirely on the property price. Portugal's standard IMT for residents uses progressive brackets with deductions for lower-priced properties, but switches to flat rates for expensive ones. Understanding where your target property falls can help you budget accurately and decide whether the refund options are worth pursuing.
The three price zones
For secondary/investment properties on the Mainland (the most common scenario for non-resident buyers), the IMT landscape breaks into three distinct zones:
Zone 1: Below €633,931
Residents benefit from progressive rates with deductions (1-8% marginal; effective rates roughly 1-6%). Non-residents pay a flat 7.5% from the first euro. Impact: from ~1.5 points near the top of the zone to ~6.5 points on cheaper properties — the biggest relative hit is at the low end.
Zone 2: €633,931 — €1.15M
Residents pay a 6% flat rate (no deduction). Non-residents still pay 7.5%. Impact: exactly 1.5 percentage points higher — translates to €9.5k-€17k extra depending on price.
Zone 3: Above €1.15M
Both residents and non-residents pay a 7.5% flat rate. The non-resident surcharge has zero effect — you pay exactly the same as a Portuguese tax resident.
Real numbers: resident vs non-resident IMT
This table shows actual IMT amounts for secondary/investment properties on the Mainland. The "Difference" column is what you'd save by becoming tax-resident before buying, or what you can reclaim afterwards through the refund mechanism.
| Property Price | Resident IMT | Non-Resident IMT | Extra Cost |
|---|---|---|---|
| €200,000 | €4,606(2.3%) | €15,000(7.5%) | +€10,394Calculate |
| €300,000 | €11,606(3.9%) | €22,500(7.5%) | +€10,894Calculate |
| €400,000 | €19,300(4.8%) | €30,000(7.5%) | +€10,700Calculate |
| €500,000 | €27,300(5.5%) | €37,500(7.5%) | +€10,200Calculate |
| €700,000 | €42,000(6% flat) | €52,500(7.5%) | +€10,500Calculate |
| €900,000 | €54,000(6% flat) | €67,500(7.5%) | +€13,500Calculate |
| €1,100,000 | €66,000(6% flat) | €82,500(7.5%) | +€16,500Calculate |
| €1,200,000 | €90,000(7.5% flat) | €90,000(7.5%) | €0Calculate |
| €2,000,000 | €150,000(7.5% flat) | €150,000(7.5%) | €0Calculate |
On €300,000 that's €22,500 of IMT — plus €2,400 purchase stamp duty, and the loan stamp duty if you finance.
Calculate my total before the deedBottom line for buyers
The new 7.5% rule has the biggest impact in the €200k-€700k range — exactly where most foreign buyers shop for apartments and holiday homes. Expect to pay around €10,000-€11,000 extra regardless of exact price within this band. In the €700k-€1.15M range, the gap widens to €10k-€17k. Above €1.15M, there's no difference at all. If you're planning to relocate to Portugal or rent long-term at moderate rates, the refund mechanism makes this a temporary rather than permanent cost.
7.5% IMT is not the whole bill
A non-resident's IMT is easy to work out — 7.5% of the price. What is not easy is the total you need available before the deed: on top of IMT comes purchase stamp duty, 0.8% of the same base, plus loan stamp duty if you finance (0.6% where the term is five years or more). On €300,000 stamp duty adds €2,400.00 — more than 10% on top of the tax the table above shows.
| Price | IMT (7.5%) | Stamp (0.8%) | Total |
|---|---|---|---|
| €300,000 | €22,500.00 | €2,400.00 | €24,900.00 |
| €400,000 | €30,000.00 | €3,200.00 | €33,200.00 |
| €500,000 | €37,500.00 | €4,000.00 | €41,500.00 |
These are the taxes. Notary, registry and bank fees vary case by case and are not part of this total — the calculator does not compute them either.
Which properties are affected?
The 7.5% flat rate applies only to urban residential property (prédios urbanos destinados a habitação). Land, commercial property, and rural property are not affected — they continue to follow standard IMT rates for all buyers.
A couple where only one of you is a tax resident
When two people buy together, IMT is assessed per share: the non-resident's share pays the flat 7.5%, the resident's share pays the ordinary progressive rates. What is not intuitive is howthe resident's part is worked out — article 17(6)(a) of the CIMT applies the rate and the deductible parcel of the full transaction value, not of the fraction that person acquires.
On a €400,000 flat bought 50/50, the resident's share pays €9,650.06 — not the €4,605.50 they would pay buying a €200,000 property on their own. That is €5,044.56 of difference, and it is the commonest mistake in a hand-made estimate.
- Resident's share: €9,650.06
- Non-resident's share (7.5%): €15,000.00
- The couple's IMT: €24,650.06 — between the €19,300.11 of two residents and the €30,000.00 of two non-residents
- With stamp duty, the total before the deed is €27,850.06
With shares other than 50/50 the result follows the proportion — change the shares in the calculator to see your own case.
Before 25 May 2026
Until 24 May 2026, non-residents paid the same IMT rates as Portuguese residents using standard progressive brackets. The main difference was that non-residents typically could not claim HPP rates since they would not be permanent residents.
Common pitfalls for foreign buyers
VPT surprises (tax value may exceed purchase price), tight payment deadlines (IMT due before deed), notary and registration requirements, and currency exchange considerations.
- VPT surprises: The tax value can exceed the purchase price, increasing your IMT
- Payment deadlines: IMT must be paid before signing the deed — plan your funds accordingly
- Notary requirements: You'll need a Portuguese tax number (NIF) and possibly power of attorney
- Currency exchange: Factor in exchange rates when budgeting from non-EUR currencies
- Beyond IMT: purchase stamp duty (0.8%), loan stamp duty (if you finance) and notary + registry (variable). Calculate the taxes before the deed →
How to estimate with the calculator
Switch to Advanced mode and tick 'Non-tax-resident buyer' — the calculator then applies the flat 7.5% rate automatically (Basic mode deliberately models resident scenarios only). Select 'Secondary residence / Rental' as the use if you won't live there permanently, and enter the VPT if known to get the correct tax base.