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Calculadora Capital

Property Capital Gains Tax Calculator

Sold (or about to sell) a home at a profit? This calculator estimates the capital gain and the IRS due under the rules for property: it adjusts the purchase price for inflation, deducts your costs and renovations, and taxes only 50% of the gain at IRS rates.

The purchase value is adjusted by the currency-devaluation coefficient for the year you bought (Portaria 382/2025/1), and only 50% of the gain is taxed. That amount is added to your income and taxed at the progressive IRS rates (mandatory aggregation); set the marginal rate to fit your case (from 12.5% to 48%). Costs include IMT, stamp duty, the deed and the estate-agent fee; improvement works are invoiced renovations from the last 12 years.

IRS due
€13,262.00
Net gain (after IRS)
€62,738.00

How the tax is reached

Sale value€250,000.00
− Inflation-adjusted purchase value (×1.20)€144,000.00
− Buying & selling costs (€)€18,000.00
− Improvement works (€)€12,000.00
Capital gain€76,000.00
Taxable portion (50% of the gain)€38,000.00
IRS (34.9%)−€13,262.00
Net gain (after IRS)€62,738.00

Educational estimate, not financial advice. Covers property sold by residents in mainland Portugal; it does not cover the main-home reinvestment exemption, properties bought before 1989 (exempt) or non-residents.

How a property capital gain is calculated

The gain is the sale value minus the purchase value, but with two important adjustments that reduce it. First, the purchase value is updated by a currency-devaluation coefficient (published every year by Portaria) that corrects it for inflation from the year you bought, provided more than 24 months have passed. Then you deduct the buying and selling costs (IMT, stamp duty, the deed, the estate-agent fee, the energy certificate) and the costs of improvement works (invoiced renovations) from the last 12 years.

Only 50% is taxed, but at IRS rates

For residents in Portugal, only half of the gain (50%) is taxed: the rule of Article 43 of the IRS Code. In return, unlike shares, there is no flat 28% rate: that half is added compulsorily to your other income (aggregation) and taxed at the progressive IRS rates, which run from 12.5% to 48%. That is why the calculator lets you enter your marginal IRS rate, the one that applies to the top of your income.

Exemptions and losses

There are cases where you pay nothing: if you sold your main and permanent home and reinvest the proceeds in a new main home (within the legal deadlines), the gain can be exempt; properties bought before 1989 are also exempt. If, after all the adjustments, you sold at a loss, you have a capital loss: no tax is due and the loss can be carried forward for five years. Property gains are reported in Anexo G of the IRS return.

Worked example

You bought a home in 2015 for €120,000 and are selling it in 2025 for €250,000. The 2015 coefficient is 1.20, so the adjusted purchase value is €144,000. With €18,000 of costs (IMT, deed, agent fee) and €12,000 of works, the gain is €76,000. Only 50% is taxed (€38,000); at a marginal IRS rate of 34.9%, the tax is €13,262 and you keep €62,738 of the gain.

Frequently asked questions

How is capital gains tax on selling a house calculated?
Gain = sale value − (purchase value × currency-devaluation coefficient) − buying/selling costs − improvement works from the last 12 years. For residents, only 50% of this gain is taxed, at the progressive IRS rates.
How much is capital gains tax on a property?
There is no flat rate. Only 50% of the gain is taxed, but that half is added to your other income and pays the IRS rates (from 12.5% to 48%, depending on your bracket). The effective tax is usually between 6% and 24% of the total gain.
What is the currency-devaluation coefficient?
It is a factor published every year by Portaria that updates the purchase value for cumulative inflation, so you are not taxed on a purely nominal gain. It applies if you sell more than 24 months after buying. For a home bought in 2015 and sold in 2025, the coefficient is 1.20.
Which costs can I deduct from a property capital gain?
You can deduct the buying and selling costs (IMT, stamp duty, the deed, registration, the estate-agent fee and the energy certificate) and the costs of improvement works (with invoices) carried out in the last 12 years.
Do I pay capital gains if I reinvest in a new home?
If the property sold was your main and permanent home and you reinvest the sale proceeds (net of any loan you repay) in another main home, within the legal deadlines, the gain can be fully or partly exempt. This calculator estimates the tax without applying that exemption.
Where do I report property capital gains for IRS?
In Anexo G of the Modelo 3 IRS return, stating the acquisition and disposal dates and values, the costs and the improvement works. Aggregation is compulsory, so the gain is added to your other income.

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Author: Thorben Rasmus Idel · Reviewed by: Nahar Geva · Last reviewed: 2026-06-07