Local Property Tax (Imposto Municipal sobre Imóveis – IMI) is payable annually, based on the taxable value of urban, rural and commercial properties in Portugal. This is payable by the property owner, as registered on the 31 December of the year that it concerns.

IMI rates 2020

Property Type

Tax Rate %

Urban property

0.3 to 0.45

Rural property


Property owned by a company registered in a ‘blacklisted’ jurisdiction



Exemptions: Urban properties that are considered as a permanent place of residence are exempt from IMI for a maximum period of three years from the date of acquisition if the property’s tax value is under €125,000 and the taxpayer’s annual income is under €153,300.
The IMI payment schedule is as follows:

  • Tax charge up to €100 – Paid in a single instalment in May
  • Tax charge between €100 to €500 inclusive – Paid in two instalments, in May and November
  • Tax charge over €500 – Paid in three instalments, in May, August and November.


Additional Property Tax (AIMI)

AIMI is an additional property tax. The taxable basis corresponds to the sum of the rateable values – ‘Valor Patrimonial Tributável’ or VPT – of all urban properties held by each taxpayer, regardless of residency, as reported on 1 January of each year. AIMI bills are issued in July for payment in September.

The tax applies as follows:

  • Individual property owners – AIMI is applicable to individual property owners if the sum of all VPT equals or exceeds €600,000, or to married or cohabiting couples who opt to submit a joint tax return if the sum of all VPT equals or exceeds €1.2 million. It is charged at 0.7% on the sum of all VPT over €600,000 and up to €1 million, 1% on the sum of all VPT over €1 million and up to €2 million, and 1.5% on the sum of all VPT over €2 million.
  • Corporate property owners – Properties held by companies will pay an additional bill of 0.4% on the full VPT value. If the company is registered in a ‘blacklisted jurisdiction’, the company will pay AIMI of 7.5% on the full VPT value, in addition to the IMI charge of 7.5%.
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