IMI Exemption

The “IMI” (Municipal Property Tax) is a tax on the taxable value of real estate located in Portugal. This tax reverts to the respective municipalities.  With the abolition of the safeguard clause of the phased increase of the tax, the increase in value payable arising from the revaluation of property tax values of most properties, the value of “IMI” may be significantly worsened this year.  So, owners whose household holds an annual gross income not exceeding 2.3 times the value of the IAS (15,295 euros) and the taxable value of the property in question does not exceed 10 times the annual value of the IAS (66,500 euros) may request exemption from “IMI”.   The request for an exemption from the “IMI” intends to grant the recipient a tax concession or a tax benefit, which translates in the absence of payment of IMI, for a certain period of time, automatically or conditionally.   This exemption is included in the 48th article of the Tax Benefits Status, and may be required near the Tax Authority.