IMI and AIMI are separate Portuguese property taxes, and confusing them can lead to a badly underestimated annual ownership cost. IMI (Imposto Municipal sobre Imóveis) is the annual municipal tax charged on the fiscal value of property. Most owners pay it, although statutory exemptions can remove the bill in qualifying cases. AIMI (Adicional ao IMI) is an additional national tax on certain urban property holdings.
For an individual, AIMI normally becomes relevant when the combined VPT of qualifying residential property and building plots exceeds the €600,000 deduction. Married couples and de facto partners who elect joint AIMI taxation can use a combined €1.2 million deduction. Companies do not receive this deduction and are generally charged from the first euro of qualifying VPT.
This guide explains the 2026 rates, thresholds, exclusions, exemptions, deadlines and Portal das Finanças procedures, with calculations based on the current Código do IMI and official Autoridade Tributária guidance.
IMI and AIMI at a Glance
| IMI | AIMI | |
|---|---|---|
| What it taxes | Rural and urban property based on VPT | Qualifying urban property, mainly residential property and building plots |
| Who owes it | Registered owner, usufructuary or holder of a surface right on 31 December of the relevant year | Qualifying holder shown in the matrix on 1 January of the tax year |
| General deduction | None, although exemptions and municipal reductions may apply | €600,000 for an individual or undivided estate; €1.2 million for couples electing joint taxation; none for companies |
| Standard rate | 0.3%–0.45% urban; 0.8% rural | 0.7%–1.5% for individuals; generally 0.4% for companies |
| Assessed | Normally notified before the first payment period | Calculated by the AT in June |
| Paid | May, or in May/August/November depending on the total | One payment in September |
| Where to check | Portal das Finanças > Imposto Municipal sobre Imóveis > Consultar Notas de Cobrança | Portal das Finanças > Movimentos Financeiros > Emitir 2ª Via |
This guide focuses on residential property and building plots in Portugal. It does not cover IMT, the one-off transfer tax due on a purchase, Stamp Duty, or capital gains tax when a property is sold. Those taxes use different calculations and trigger dates.
IMI, Portugal’s Annual Municipal Property Tax
IMI is calculated from the Valor Patrimonial Tributário (VPT), the fiscal value recorded for the property by the AT. The VPT appears on the property’s caderneta predial and is often lower than the market purchase price, because it follows a statutory formula rather than current comparable sales.
The AT periodically updates existing VPTs, including through the statutory monetary adjustment mechanism. That periodic update is not necessarily the same as a fresh direct valuation using all current property coefficients, which is why an owner may sometimes benefit from requesting a new assessment.
How IMI Is Calculated
The basic calculation is:
IMI = VPT × municipal IMI rate − any applicable fixed deduction
There is no progressive bracket structure. A property with a VPT of €300,000 in a municipality applying a 0.35% rate produces annual IMI of €1,050 before any applicable family deduction or exemption.
Municipalities set their urban rate annually within the limits in Article 112 of the CIMI:
| Property type | Standard rate |
|---|---|
| Urban property, including apartments and houses | 0.3% to 0.45%; exceptionally up to 0.5% for municipalities covered by specified financial adjustment programmes |
| Rural property (prédios rústicos) | 0.8% nationwide |
Some municipalities grant a fixed IMI familiar deduction for a permanent home where the household has dependent children. The possible amounts are €30 for one dependent, €70 for two and €140 for three or more, but the municipality must choose to apply the measure. Check the rate and family deduction approved for the property’s municipality rather than assuming it is automatic nationwide.
When and How IMI Is Paid
IMI is charged to the person or entity recorded as the owner, usufructuary or holder of the surface right on 31 December of the year to which the tax relates. A person who purchased a property during 2025 is normally the taxpayer for the IMI relating to 2025 and paid in 2026 if they held it on 31 December 2025.
The payment schedule depends on the total annual IMI assessment:
| Total annual IMI | Payment schedule |
|---|---|
| €100 or less | One installment in May |
| More than €100 and up to €500 | Two installments in May and November |
| More than €500 | Three installments in May, August and November |
When an installment is available, the taxpayer may generally choose to pay the full annual amount during May. Retrieve the collection note and payment reference through Imposto Municipal sobre Imóveis > Consultar Notas de Cobrança on the Portal das Finanças.
Vacant and Ruined Properties Can Face Higher IMI
The increased rates for vacant property are not a single rule:
- An urban property classified as vacant for more than one year, or classified as a ruin under the relevant rules, can generally be charged three times the ordinary IMI rate.
- In a designated zona de pressão urbanística, a residential property or building plot that remains vacant for more than two years can be charged six times the ordinary rate. That multiplier may then rise by 10% for each additional year, up to a maximum of twelve times the standard rate.
The classification is made and communicated by the municipality. A buyer considering a vacant or derelict property should check whether the property is already classified as devoluto or in ruins before completion, rather than assuming the increased rate only starts after their own purchase date.
AIMI, the Additional Tax on Qualifying Urban Property
AIMI is assessed on the combined VPT of qualifying urban properties held on 1 January. For most private owners, this means residential urban property and terrenos para construção, or building plots.
The principal exclusions include urban properties classified in the matrix as commercial, industrial or for services, properties classified as other, and qualifying residential properties included in the Programa de Apoio ao Arrendamento. The AIMI calculation also excludes certain properties that were exempt from or not subject to IMI in the previous year, qualifying social or controlled-cost housing held by housing cooperatives or residents’ associations, and certain properties held by condominiums, cooperatives and residents’ associations under Article 135.º-C.
The matrix classification matters. A property should not be treated as excluded merely because it is informally described as agricultural or used in a business.
Who May Owe AIMI
AIMI can apply to individuals, companies, undivided estates and certain structures without separate legal personality that are shown in the matrix as the property holder.
The main deductions are:
- €600,000 for an individual
- €600,000 for an undivided estate
- €1.2 million for married couples or de facto partners who elect joint AIMI taxation
- No general deduction for a company
Individual AIMI Rates
After the deduction, an individual’s taxable value is charged in marginal bands:
| Taxable value after the deduction | Rate |
|---|---|
| Up to €1,000,000 | 0.7% |
| More than €1,000,000 and up to €2,000,000 | 1% on that slice |
| Above €2,000,000 | 1.5% on that slice |
For couples who elect joint taxation, the €600,000 deduction and the marginal band limits are doubled. The 1% marginal band therefore starts above €2 million of taxable value after the €1.2 million deduction, and the 1.5% band starts above €4 million.
Example 1, a single owner within the first band:
A single owner has one qualifying property with a VPT of €900,000. After the €600,000 deduction, the taxable value is €300,000.
€300,000 × 0.7% = €2,100 AIMI
Example 2, a single owner entering the second band:
A single owner has qualifying property with a combined VPT of €2,300,000. After the €600,000 deduction, the taxable value is €1,700,000.
- First €1,000,000 × 0.7% = €7,000
- Remaining €700,000 × 1% = €7,000
Total AIMI = €14,000
The 1% rate applies only to the portion inside the second band, not to the full taxable amount.
Undivided Estates and Heirs
An undivided estate generally receives a €600,000 deduction and pays 0.7% on the remaining taxable value. The heirs can instead have the qualifying VPT allocated to them individually for AIMI purposes.
For that treatment:
- The cabeça de casal identifies the heirs and their shares between 1 and 31 March.
- Each heir, including the cabeça de casal, confirms their share between 1 and 30 April.
Each heir’s allocated amount is then included in their own AIMI calculation, where their personal deduction and rates may apply.
Company AIMI Rates
A company generally pays AIMI at 0.4% on its full qualifying VPT because companies do not receive the €600,000 deduction.
Different rates apply to qualifying property held by a company but used personally by shareholders, members of its corporate bodies, directors, managers or their spouses, ascendants or descendants. That property is charged at:
- 0.7% on the initial amount
- 1% on the portion above €1 million and up to €2 million
- 1.5% on the portion above €2 million
Property owned by an entity established in a jurisdiction on Portugal’s list of clearly more favourable tax regimes is generally charged AIMI at 7.5%. That 7.5% rule does not apply merely because an individual owner lives in such a jurisdiction.
Assessment and Payment
The AT calculates AIMI in June using the qualifying VPT held on 1 January. Payment is due in one installment during September. The 2026 payment deadline is 30 September 2026.
Retrieve the payment document through Movimentos Financeiros > Emitir 2ª Via, select “Adicional ao IMI” and choose the relevant year.
AIMI Deductions for Individuals and Companies
The income-tax treatment depends on who owns the property.
Individual landlords and accommodation operators: AIMI attributable to properties generating qualifying Category F rental income may be deducted from the corresponding IRS liability, subject to the statutory limit. A similar deduction can apply to Category B income from a rental or accommodation activity. AIMI is not deductible as an ordinary Category F expense when calculating net rental income; the mechanism is a deduction from the relevant IRS liability under Article 135.º-I.
Companies subject to IRC: a company carrying on a rental or accommodation activity may choose to deduct qualifying AIMI from its IRC liability, limited to the portion connected to income generated by the AIMI-liable properties. Choosing that IRC credit prevents the same AIMI from also being deducted when calculating taxable profit. This is a company-level choice and should not be confused with the IRS treatment for an individual owner.
Married Couples and the Joint AIMI Election
Married couples and de facto partners are not automatically assessed jointly for AIMI. Without an election, the AT generally calculates AIMI separately according to the properties recorded in each person’s name in the matrix.
Electing joint taxation provides:
- a combined deduction of €1.2 million;
- doubled marginal band limits; and
- one combined AIMI calculation for both partners’ qualifying property.
The statutory filing window is 1 April to 31 May. Because 31 May 2026 fell on a Sunday, the official 2026 tax calendar extended the deadline to 1 June 2026.
Submit the election through Adicional ao IMI > Entregar opção casados ou em união de facto on the Portal das Finanças. An election already made in a previous year remains valid until the couple formally renounces it. The AT also allows the option to be changed within 120 days from the end of the AIMI payment deadline, exclusively through the Portal das Finanças.
Couples married under a community-property regime who do not choose joint taxation can file the separate declaration identifying each spouse’s own property and their shares in common property.
Do Foreigners and Non-Residents Pay More?
Foreign nationality does not by itself create a higher standard IMI or AIMI rate. The ordinary rates, deductions and brackets are based on the property’s classification, VPT and the type of taxpayer rather than citizenship.
Non-residence can nevertheless affect procedures and access to a particular exemption.
A person resident in an EU country, Norway, Iceland or Liechtenstein may appoint a fiscal representative, but this is generally optional. A person resident in another country who has a Portuguese tax relationship because they own Portuguese property must generally do one of the following:
- appoint a fiscal representative resident in Portugal; or
- activate electronic notifications and citations through the Portal das Finanças or ViaCTT.
The electronic-notification option does not replace a fiscal representative where the non-resident carries on a self-employed activity subject to Portuguese VAT and the law requires a VAT-registered representative.
Property owners should also keep their tax address and notification channel current. Not seeing a collection notice does not suspend an IMI or AIMI payment deadline. A non-resident receiving Portuguese rental income normally also has a separate annual IRS reporting obligation.
IMI Exemptions for a Permanent Home
The two commonly discussed exemptions have different conditions and should not be combined.
Permanent Low-Income Exemption
The automatic low-income exemption under Article 11.º-A generally requires all of the following:
- the urban property is the taxpayer’s or household’s permanent home and registered fiscal address;
- total household gross income for the previous year does not exceed 2.3 times 14 IAS;
- the combined VPT of all rural and urban properties belonging to the household does not exceed 10 times 14 IAS; and
- the household has complied on time with the relevant IRS and IMI reporting obligations.
For IMI relating to 2025 and paid in 2026, the limits are:
- €16,824.50 total household gross income; and
- €73,150 combined household VPT.
The AT reviews the exemption automatically each year. It does not include property belonging to a taxpayer who is non-resident for Portuguese tax purposes. This is an important distinction: foreigners who are Portuguese tax residents can qualify if they meet the conditions, while a non-resident owner is expressly excluded from this automatic exemption.
Temporary Exemption for a Qualifying Home
The temporary exemption under Article 46.º of the Estatuto dos Benefícios Fiscais can apply to qualifying urban residential property that is:
- constructed;
- enlarged;
- improved; or
- acquired for consideration,
provided it is used as the taxpayer’s or household’s permanent home.
The principal conditions include:
- household gross income in the previous year of no more than €153,300;
- a VPT of no more than €125,000;
- use as the permanent home, normally within six months of acquisition or completion of the work; and
- no disqualifying tax debt under the general benefit rules.
The exemption lasts three years. A municipal assembly may approve a further two-year extension, making five years in total. It can only be recognized twice for the same taxpayer or household.
For a qualifying purchase, the exemption is automatic when the AT has the necessary information. For construction, enlargement, improvement and other cases requiring recognition, the taxpayer may need to submit a documented request to the competent tax office. The statutory request period is linked to the six-month deadline for occupying the property as the permanent home.
| Permanent low-income exemption | Temporary qualifying-home exemption | |
|---|---|---|
| Main basis | Low household income and low combined property value | Construction, enlargement, improvement or purchase of a qualifying permanent home |
| Duration | Reviewed automatically each year while the conditions continue | 3 years, potentially extended to 5 by municipal decision |
| Income limit used for IMI paid in 2026 | €16,824.50 | €153,300 |
| VPT limit | €73,150 across the household’s property | €125,000 for the qualifying property |
| Non-resident owner | Excluded | Depends on satisfying the permanent-home and other statutory conditions |
| Procedure | Automatic annual recognition | Automatic for qualifying purchases where the AT has the data; application in other cases |
How to Check the VPT and Pay
The caderneta predial shows the property’s current VPT, matrix classification, ownership details and valuation information.
To check the property and retrieve payment details:
- Log in to the Portal das Finanças using your NIF and password.
- Go to Património > Prédios and select the property to obtain the caderneta predial.
- For IMI, go to Imposto Municipal sobre Imóveis > Consultar Notas de Cobrança and select the relevant year.
- For AIMI, go to Movimentos Financeiros > Emitir 2ª Via, choose “Adicional ao IMI” and select the year.
The VPT will often differ substantially from the market price. That does not by itself show that the matrix is wrong, because the statutory valuation uses factors such as the base construction value, gross area, use, location, quality and comfort, and the property’s age coefficient.
How to Challenge or Update a VPT
The correct route depends on what has happened:
A newly notified direct valuation: if you disagree with the result of a direct urban-property valuation, request a segunda avaliação within 30 days from notification under Article 76.º of the CIMI. This is not a 60-day procedure.
An older VPT that has become outdated: submit a reclamação da matriz based on the VPT being outdated and request a new valuation. Where the existing VPT resulted from a direct valuation, this type of change can generally be requested once three years have passed since the previous request, the official registration or the property’s matrix update.
A routine periodic VPT update does not remove the owner’s right to use the correct procedure when the underlying valuation factors are outdated or the matrix contains an error. Before submitting a reassessment request, calculate the likely result because current coefficients can sometimes increase rather than reduce the VPT.
You will need a NIF before using these services, which is usually one of the first steps when buying property in Portugal as a foreigner. Our guide on how to get a NIF in Portugal explains that process, while the broader Portal das Finanças guide covers the platform in more detail.
Common IMI and AIMI Mistakes
Treating a permanent exemption as permanently guaranteed. The low-income exemption is checked annually. A higher household income, increased combined VPT, a change of tax residence or late tax declarations can end it.
Using the market value instead of the VPT. IMI and AIMI calculations normally start from the value in the matrix, not the estate agent’s valuation, mortgage valuation or purchase price.
Confusing urban and rural rates. Urban property generally uses the municipality’s rate between 0.3% and 0.45%, while rural property uses 0.8%. A mixed holding may therefore have different rates applied to different matrix articles or components.
Missing the AIMI joint election. The ordinary statutory window ends on 31 May. For 2026 only, the official deadline moved to 1 June 2026 because 31 May was a Sunday. Couples should not assume joint ownership on the deed automatically produces joint AIMI taxation.
Assuming every third-country non-resident must appoint a representative. A third-country resident with Portuguese property generally needs either a Portuguese fiscal representative or an activated electronic notification channel. The representative remains compulsory in certain VAT activity cases.
Using Pedido de Segunda Avaliação for every VPT complaint. A second valuation is the 30-day challenge to a newly notified direct valuation. An older, outdated VPT is normally addressed through a matrix complaint and a new valuation, subject to the three-year rule.
Treating AIMI as a tax only for large investment portfolios. A single high-VPT home can create AIMI for an individual, while a company generally has no €600,000 deduction. Run the calculation before purchase and check the matrix classification of every property included. This is also worth factoring into a golden visa property investment or any purchase decision alongside ongoing costs covered in our cost of living by city guide.
IMI and AIMI are recurring ownership costs, so they belong in the same planning exercise as capital gains tax when a property is eventually sold and the Portuguese tax calendar for annual filing and payment dates. Rental income has separate reporting rules under IRS for foreigners, even where the same property is also subject to IMI or AIMI.