Taxes
Guides to everyday taxes in Portugal: IRS, IMI, IUC and capital gains.
How is IRS (Portuguese income tax) calculated?
How IRS is calculated: taxable income, the 2026 brackets (Art. 68.º), average vs marginal rate and joint taxation, in plain language, with a worked example.
5 min readHow IRS deductions work in Portugal (deduções à coleta)
Portuguese IRS deductions in 2026: the percentages and caps for health, education, invoices, homes, alimony and domestic work, and the global ceiling by income.
5 min readIFICI: Portugal's new non-habitual resident regime (NHR 2.0)
Portugal's NHR closed and the IFICI took its place: who qualifies, the 20% rate for 10 years, how foreign income is taxed and the 15 January registration.
5 min readPrograma Regressar: Portugal's tax break for moving back, and why 2026 is the last year
Portugal's former-resident regime excludes 50% of your salary from tax for 5 years, with no application. The conditions, the 2026 deadline and what it saves.
9 min readPortugal's disability certificate and its tax benefits
The atestado multiusos in 2026: the 60% threshold, the income that stops being taxed, the €2,148.52 credit of article 87.º and the ISV, IUC and VAT exemptions.
8 min readHow rental income is taxed in Portugal: rates and calculation
How IRS taxes rental income (Category F) in Portugal: autonomous rates from 28% to 5%, deductible expenses, the aggregation option and Anexo F.
3 min readElectronic rent receipts in Portugal: a landlord's guide (and what you keep)
How to issue the electronic rent receipt on the Portal das Finanças, who is exempt, the Modelo 44, and how much you keep from each rent after IRS (Category F).
4 min readHow is VAT (IVA) calculated in Portugal?
How to calculate Portuguese VAT (IVA): adding and removing VAT at the standard (23%), intermediate (13%) and reduced (6%) rates, with an example.
3 min readPortugal's VAT exemption: article 53.º explained, and what changed in 2025
Who is exempt from Portuguese VAT under article 53.º, the €15,000 threshold, the two limits most people confuse, and the conditions Decree-Law 35/2025 removed.
7 min readCustoms clearance: what a parcel from outside the EU costs in Portugal
The relief up to €150 ended on 1 July 2026. How customs duty and import VAT are calculated on a parcel, and why the €3 is charged per item.
8 min readHow is IMT calculated when buying a home in Portugal?
How IMT is calculated: the taxable value, the 2026 brackets, the exemption, IMT Jovem and how it differs from IMI, in plain language, with a worked example.
4 min readWhat is IMT Jovem and how much do you save on a first home?
What IMT Jovem is: the IMT and Stamp Duty exemption for a first home under 35, the 2026 limits (full and partial) and who qualifies, with a worked example.
3 min readWhat is Stamp Duty (Imposto do Selo) and how much do you pay when buying a home?
What Stamp Duty (Imposto do Selo) is: the rates, the 0.8% duty on buying a home and the mortgage credit duty, explained simply, with an example.
4 min readGift tax in Portugal: how much do you pay to gift money or a home?
How much tax you pay on a gift in Portugal: the 10% Stamp Duty, the spouse/children/parents exemption and the 0.8% on real estate, with examples.
4 min readCapital gains on an inherited home in Portugal: how the tax is actually calculated
Inherited property in Portugal: the acquisition value is the tax value at the date of death, half the gain is taxed, and a pre-1989 death is exempt.
9 min readUsufruct and bare ownership: what each part of a property is worth
Usufruct and bare ownership in Portugal: what they are, who pays IMI, and how the article 13.º CIMT table splits a property's value by the usufructuary's age.
11 min readSurface rights in Portugal: what they are and what they are worth
A Portuguese surface right lets you own a building on someone else's land. What it is, how it is created, who pays the property tax and how value is split.
9 min readForced heirs in Portugal: the reserved portion, the disposable portion and each share
Who counts as a forced heir in Portugal, how much of an estate the reserved portion protects from any will, and how each heir's share is worked out.
10 min readHow is your home’s IMI calculated in Portugal?
How IMI is calculated: the VPT, the municipal rate (0.3%–0.45%), the family deduction and the payment instalments, in plain language, with a worked example.
4 min readIMI exemption in Portugal: who qualifies, 2026 limits and how to claim
IMI exemption in 2026: the permanent low-income exemption, the 3-year exemption for the main home, the limits, how to claim and the mistakes to avoid.
6 min readWhat is AIMI and who has to pay it?
What AIMI is: who pays, the €600,000 deduction, the 2026 marginal rates, the couple's joint option and how it differs from IMI, with an example.
4 min readTaxable property value (VPT): what it is and how it is calculated
The VPT is a property's fiscal value in Portugal: it drives IMI, IMT and AIMI. See the CIMI formula, every coefficient, the 2026 base value and revaluation.
7 min readHow is your car’s IUC calculated in Portugal?
How IUC is calculated: the engine-size and CO₂ components, the year coefficient, the diesel surcharge and exemptions, in plain language, with a worked example.
4 min readHow is a car’s ISV calculated in Portugal?
How ISV is calculated: the engine-size and CO₂ components, the diesel surcharge, the used-car reduction and the electric exemption, with a worked example.
7 min readWhat are capital gains and how are they taxed in Portugal?
What capital gains are, how to work out the gain on shares, ETFs and funds, the 28% rate, aggregation and losses, in plain language, with a worked example.
4 min readHow to report capital gains on shares and ETFs (Portugal IRS)
How to report capital gains on shares, ETFs and funds in Portugal: Anexo G, Anexo G1, the aggregation option, carrying losses forward and foreign brokers.
6 min readCapital gains on selling a property: how they are calculated and taxed
How capital gains on selling a home are calculated: the inflation coefficient, deductible costs, the 50% rule and IRS, with a worked example.
5 min readReinvesting home-sale gains: how to pay no IRS when you sell your home
Portugal's main-home reinvestment relief: how much you must reinvest, the 24 and 36 month windows, what counts and the mistakes that trigger IRS.
6 min readPortugal's capital gains exemption over 65: selling your home tax free
Portugal's capital gains exemption for over-65s: the four eligible products, the six-month deadline, the 7.5% annuity cap and the article number that changed.
9 min readHow crypto is taxed in Portugal (IRS)
How crypto is taxed under IRS in Portugal: the 365-day rule, the 28% rate, crypto-to-crypto swaps and what to report, with euro examples.
5 min readDividends and IRS in Portugal: aggregation or the flat 28%?
How dividends are taxed in Portugal: the flat 28% rate, the option to aggregate (englobamento) and the 50% rule for EU companies, with worked examples.
4 min readDouble-taxation treaties: how much foreign withholding tax you actually get back
Why Portugal credits only the tax the treaty allowed the source country to charge, what to do with the excess, and what form W-8BEN is worth.
7 min readForeign brokers and IRS: do you have to declare your gains?
Revolut, Trade Republic, Degiro and IRS: why you declare the gains in Anexo J, how to convert amounts to euros and the foreign-tax credit for double taxation.
6 min readFunds and ETFs in IRS: accumulating or distributing?
How funds and ETFs are taxed in Portugal: accumulating vs distributing, national funds that withhold the tax, and foreign ones you declare in Anexo J.
6 min readWhat is late-payment interest (juros de mora) and how is it calculated?
Late-payment interest in Portugal and the 2026 rates: civil 4%, commercial 10.40%, tax debts 7.221%. How to work out the interest on an overdue payment.
5 min readThe Portuguese NIF: what its nine digits tell you
How to validate a Portuguese NIF from its check digit, what the first digit says about the holder, and why a NIF starting with 7 is never a company.
9 min read
The content is educational and does not constitute financial advice.