Whole country.

An individual or a legal person who purchases immovable property situated in the Portuguese territory as well as other similar transferees, as defined by the law, whether or not resident in Portugal.

The tax is levied on non gratuitous transfers of urban, rural or mixed immovable properties situated in the Portuguese territory and other similar transactions, as defined by the law.

The basis of assessment is the transfer value of the immovable property, as defined by the law. In general, the price stated in the property transfer act or deed or, if higher, the taxable value of the property for purposes of the Municipal immovable property tax (IMI).

Main exemptions:

• The central government, the autonomous regions, the local authorities as well as their associations and federations and any departments, organizations or agencies thereof, even if they have legal personality;
• Foreign governments in respect of purchases of buildings exclusively destined for the seat of the diplomatic or consular mission or for the residence of the Head of the mission or of the Consul, as well as in respect of purchases of land destined for these buildings, where there is reciprocity of treatment;
• Charities (IPSS) and entities of public interest in respect of properties directly destined for their purposes;
• Purchases of properties by registered religious institutions for religious purposes;
• Purchases of classified properties as having national, public or municipal interest, under the applicable law; 
• Purchases of properties situated in less developed areas by companies for use in agricultural or industrial activities considered of relevant economic and social interest;
• Purchases of properties by sports associations, if not destined for paid shows;
• Purchases of rural immovable properties for first use by young farmers, under the applicable law;
• Purchases of properties by museums, libraries, schools, corporate public entities responsible for public school nets and teaching or cultural associations, directly or indirectly destined for their purposes (Article 6 of IMT Code);
• Purchases of properties for resale by real estate dealers registered for personal or corporate income tax purposes, subject to the conditions established by the law (Article 7 of IMT Code);
• Purchases of properties by credit institutions and their controlled subsidiaries in order to recover bad credits under legal procedures, subject to the conditions established by the law (Article 8 of IMT Code);
• Purchases of urban immovable property exclusively destined for use as permanent residence, the taxable value of which does not exceed € 92,407 (Article 9 of IMT Code);
• Purchases of urban immovable properties destined to undergo renovation works within a two-year period (Article 45 of EBF);
• Immovable properties held by pension funds, retirement savings funds and immovable property investment funds (Article 49 of EBF);
• Non gratuitous transfers of immovable properties not destined for residential use which are necessary for qualifying restructuring operations such as mergers, spin-offs and profit-sharing agreements may apply for an exemption under the conditions established by the law (Article 60 of EBF);
• Cooperatives in respect of purchases of properties destined for their seat or use for their purposes, subject to the conditions established by the Law 85/98, of 16 December 1998;
• Political parties in respect of purchases of properties destined for their purposes (Law 19/2003, of 20 June 2003).

• Purchases of rural immovable properties: 5%
• Purchases of urban immovable properties exclusively destined for use as permanent residence: 

 (*) In the upper limit. 

• Purchases of urban immovable properties exclusively destined for residential use (other than for use as permanent residence): 

 (*) In the upper limit.

In the Autonomous Regions (Madeira and Azores), the above mentioned tax schedules are recalculated by multiplying the lower and upper limits by a coefficient of 1.25 according to Law 21/90 of 4 August 1990

Purchases of other urban immovable properties and other non gratuitous transfers: 6.5 %

Generally before the property transfer act or deed.

In general, the tax is assessed and collected by the Tax and Customs Authority on the basis of the tax return submitted by the taxpayer, before the property transfer act or deed.